For Immediate Release
May 22, 2014

Canadian securities regulators propose changes to streamline venture issuer disclosure

Vancouver - 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.

For more information:

Richard Gilhooley
British Columbia Securities Commission
604-899-6713

Sylvain Théberge
Autorité des marchés financiers
514-940-2176

Mark Dickey
Alberta Securities Commission
403-297-4481

Carolyn Shaw-Rimmington
Ontario Securities Commission
416-593-2361

Kevan Hannah
Manitoba Securities Commission
204-945-1513

Wendy Connors-Beckett
Financial and Consumer Services
Commission New Brunswick
506-643-7745

Tanya Wiltshire
Nova Scotia Securities Commission
902-424-8586

Janice Callbeck
PEI Securities Office
Office of the Attorney General
902-368-6288

Don Boyles
Financial Services Regulation Div.
Newfoundland and Labrador
709-729-4501

Rhonda Horte
Office of the Yukon Superintendent of
securities
867-667-5466

Louis Arki
Nunavut Securities Office
867-975-6587

Gary MacDougall
Northwest Territories
Securities Office
867-920-3318

Daniela Machuca
Financial and Consumer Affairs
Authority of Saskatchewan
306-798-4160