Since 1 November 2012 the application of the Regulation (EU) No 236/2012 of the European Parliament and of the Council of 14 March 2012 on short selling and certain aspects of credit default swaps (the Regulation) has commenced.
In the Regulation and its implementing acts there are requirements for information disclosure to national competent authorities by natural and legal persons having net short positions in relation to issued share capital of an entity, whose shares have been admitted to trading. The notification threshold, as stated in art. 5 of the Regulation, is 0.2 % of the issued share capital of the relevant entity and each 0.1 % above this percent.
The requirement for disclosure to the national competent authority comes into force on the first day following the day of starting applying the Regulation, i.e. on 2 November 2012. The relevant time for calculation of a net short position is at midnight at the end of the trading day on which the natural or legal person holds the relevant position. The disclosure is made not later than 15.30 on the following trading day.
With regard to the Regulation a new section on the FSC’s website was created – Short selling – http://www.fsc.bg/en/registers-and-checks/short-selling/notification-templates/ . The texts of the main Regulation and the Deledated Regulations in Bulgarian and in English were published in this section. In accordance with the accepted in the Delegated Regulations formats for information disclosure the FSC has prepared and published notification templates in .xls format in Short Selling Section. These templates have to be sent to the national supervisor by persons having net short position in shares of at least 0.2 %.
The notifications should:
– be sent to the following e-mail address: delovodstvo@fsc.bg, signed with electronic signature; or
– be sent by post mail, accompanied by a durable medium (containing .xls file); or
– be submitted in the FSC premises, accompanied by a durable medium.
The Regulation contains provisions for public disclosure of information regarding the net short positions of natural and legal persons in respect of the issued share capital of the entity whose shares are admitted to trading. In this case the threshold, according to art. 21 of the European Commission Delegated Regulation № 918/2012 of 5 July 2012 supplementing Regulation № 236/2012, is 0.5 % of the issued share capital of the entity and each 0.1% above this percent.
Notification templates for public disclosure of information can be found in the Short Selling Section / Notification templates. They should:
– be sent to the email address: delovodstvo@fsc.bg , signed with electronic signature; or
– be sent by post mail, accompanied by a durable medium (containing .xls file); or
– be submitted in the FSC premises, accompanied by a durable medium.
Public disclosure will be made by the FSC in Short Selling Section / Information on significant net short positions in shares.
Information regarding the obligation for information disclosure by natural or legal persons of significant net short positions in sovereign debt and of uncovered positions in sovereign credit default swaps might be found on internet page of the Bulgarian Ministry of Finance: http://www.minfin.bg/en/page/819.