A Verkhovna Rada of Ukraine Committee supported the NSSMC’s draft law on simplifying private share placements

The Verkhovna Rada of Ukraine Committee on Finance, Tax, and Customs Policy supported the draft Law of Ukraine No. 15336, developed by the National Securities and Stock Market Commission, and recommended that the Verkhovna Rada of Ukraine adopt it at first reading.

The draft law is intended to make it easier for businesses to attract investment. It simplifies the procedures for registering private share placements and reduces the number of bureaucratic steps that companies currently go through.

In particular, in cases specified by legislation, the Central Securities Depository will handle the registration of share issuances. The “single window” principle is also being introduced, which will allow companies to submit the required documents electronically through the Central Securities Depository.

This is expected to reduce the time and costs involved in raising capital for companies, particularly for medium-sized businesses, while maintaining the necessary level of recording and investor protection.

Similar mechanisms already function in a number of European Union countries, including Germany, France, and Italy.

Support shown by the relevant Committee is an important step toward the further consideration of the draft law by the Verkhovna Rada of Ukraine.