London Stock Exchange publishes latest guidance for AIM Companies in light of COVID-19

Kerman & Co website
March 25, 2020 Publications

The London Stock Exchange has published its latest issue of ‘Inside AIM’ on 20 March 2020 to show the temporary measures being introduced to support AIM-listed companies and their nominated advisers during the Coronavirus (COVID-19) pandemic.

Points to note:

AIM Regulation will be applying discretion to the application of the following rules for AIM companies and their nominated advisers:

  • Temporary Suspension of Trading -  All companies should continue to meet their disclosure obligations without delay.  However, where an AIM company needs more time to be make a fully compliant notification than would be the case in ordinary circumstances, the nominated adviser should approach AIM Regulation to discuss whether a temporary suspension is required. The request will need to fully explain why the suspension is appropriate in the circumstances and any decision to suspend is at the discretion of AIM Regulation. If granted, such a temporary suspension will be for a limited period to enable the AIM company to make a fully compliant notification.
  • Cancellation of Admission - Under AIM Rule 41 (Cancellation), AIM companies that have had their securities suspended from trading on AIM for more than 6-months will have their securities cancelled.  AIM Regulation will now increase this period to 12-months for companies that have or will be suspended between 30th September 2019 and 1 July 2020.
  • Nominated Adviser Obligations - The requirement for nominated advisers to carry out a physical site-visit is being suspended temporarily once applicable restrictions (e.g. social distancing and travel) have been lifted provided that a nominated adviser uses alternative measures that are reasonably available (e.g. virtual meetings).  AIM Regulation have also recognised that in current circumstances for the purpose of providing AIM Rules education, nominated advisers are likely to be undertaking telephone or virtual meetings with directors instead of physical meetings.

Practical tips:

It is important for AIM companies to openly consult with their nominated advisers as to what planning procedures will be put in place (if any) to maintain compliance requirements under the AIM Rules for Companies.  As the situation develops, it will be important that challenges are identified early on – the extended discretionary powers of AIM Regulation should provide further flexibility not previously offered under conventional circumstances.

For more information, please see Inside AIM: Coronavirus – Temporary Measures.

Should you wish to discuss any of the matters raised in this article, please do get in touch with Joan Yu or Peter Wilkie, or your usual contact at Kerman & Co.

Originally published at Kermanco.com prior to the firm’s combination with Armstrong Teasdale in early 2021.

Contact Us
  • Worldwide
  • Boston, MA
  • Denver, CO
  • Edwardsville, IL
  • Jefferson City, MO
  • Kansas City, MO
  • Las Vegas, NV
  • London, England
  • New York, NY
  • Philadelphia, PA
  • Princeton, NJ
  • Salt Lake City, UT
  • St. Louis, MO
  • Wilmington, DE
Worldwide
abstract image of world map
Boston, MA
800 Boylston St.
30th Floor
Boston, MA 02199
Google Maps
Boston, Massachusetts
Denver, CO
4643 S. Ulster St.
Suite 800
Denver, CO 80237
Google Maps
Denver, Colorado
Edwardsville, IL
115 N. Second St.
Edwardsville, IL 62025
Google Maps
Edwardsville, Illinois
Jefferson City, MO
101 E. High St.
First Floor
Jefferson City, MO 65101
Google Maps
Jefferson City, Missouri
Kansas City, MO
2345 Grand Blvd.
Suite 1500
Kansas City, MO 64108
Google Maps
Kansas City, Missouri
Las Vegas, NV
3770 Howard Hughes Parkway
Suite 200
Las Vegas, NV 89169
Google Maps
Las Vegas, Nevada
London, England
200 Strand
London, WC2R 1DJ
Google Maps
New York, NY
7 Times Square, 44th Floor
New York, NY 10036
Google Maps
New York City
Philadelphia, PA
2005 Market Street
29th Floor, One Commerce Square
Philadelphia, PA 19103
Google Maps
Philadelphia, Pennsylvania
Princeton, NJ
100 Overlook Center
Second Floor
Princeton, NJ 08540
Google Maps
Princeton, New Jersey
Salt Lake City, UT
201 South Main Street
Suite 750
Salt Lake City, UT 84111
Google Maps
Salt Lake City, Utah
St. Louis, MO
7700 Forsyth Blvd.
Suite 1800
St. Louis, MO 63105
Google Maps
St. Louis, Missouri
Wilmington, DE
300 Delaware Avenue
Suite 210
Wilmington, DE 19801
Google Maps
Wilmington, Delaware