Canadian Securities Administrators

Canadian Securities Administrators

May 22, 2014 11:00 ET

Canadian Securities Regulators Propose Changes to Streamline Venture Issuer Disclosure

VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 22, 2014) - The Canadian Securities Administrators (CSA) today published for comment proposed amendments that would streamline disclosure by venture issuers.

"These proposed amendments are designed to streamline disclosure requirements so that venture issuers can focus more on the growth of their businesses," said Bill Rice, Chair of the CSA and Chair and CEO of the Alberta Securities Commission. "They will also focus disclosure on information that reflects the needs and expectations of investors and eliminate disclosure that may be less valuable to investors."

The proposals address continuous disclosure and governance obligations, as well as disclosure for prospectus offerings.

In particular, the proposed amendments would:

  • allow the requirement for management's discussion and analysis for interim financial periods to be satisfied by a streamlined and highly focused report on quarterly highlights, if the venture issuer does not have significant revenue;
  • implement a new tailored form of executive compensation disclosure;
  • reduce the instances in which a business acquisition report must be filed;
  • create a new requirement for audit committees to have a majority of independent members; and
  • amend the prospectus disclosure requirements to reduce the number of years of audited financial statements required for venture issuers becoming reporting issuers and to conform the prospectus disclosure requirements to the proposed amendments related to continuous disclosure.

The CSA notice and the proposed amendments are available on CSA members' websites. The comment period is open until August 20, 2014.

The CSA, the council of the securities regulators of Canada's provinces and territories, co-ordinates and harmonizes regulation for the Canadian capital markets.

Contact Information

  • Richard Gilhooley
    British Columbia Securities Commission

    Mark Dickey
    Alberta Securities Commission

    Kevan Hannah
    Manitoba Securities Commission

    Tanya Wiltshire
    Nova Scotia Securities Commission

    Don Boyles
    Financial Services Regulation Div.
    Newfoundland and Labrador

    Louis Arki
    Nunavut Securities Office

    Daniela Machuca
    Financial and Consumer Affairs
    Authority of Saskatchewan

    Sylvain Theberge
    Autorite des marches financiers

    Carolyn Shaw-Rimmington
    Ontario Securities Commission

    Wendy Connors-Beckett
    Financial and Consumer Services
    Commission New Brunswick

    Janice Callbeck
    PEI Securities Office
    Office of the Attorney General

    Rhonda Horte
    Office of the Yukon Superintendent of securities

    Gary MacDougall
    Northwest Territories
    Securities Office