Guide to Public Dealing Disclosures by Exempt Principal Traders

Understanding Form 8.5 (EPT/RI)

Form 8.5 (EPT/RI) is designed for exempt principal traders with recognized intermediary status who conduct transactions while serving client interests. This form is used to publicly disclose dealings as mandated by Rule 8.5 of the Takeover Code. Transparency in such disclosures is key to managing investment risk, ensuring market integrity, and maintaining confidence among investors regarding their portfolio at risk.

Key Information Required

When submitting disclosures using Form 8.5, traders must provide detailed information about the relevant securities involved in the dealings. This encompasses all classes of securities related to the offeror or offeree. The currency for prices and monetary amounts must be clearly stated for transparent investment analysis.

Transaction Types to Report

• Purchases and Sales: All buying and selling activities involving relevant securities must be logged.
• Cash-Settled Derivatives: Transactions settled in cash, referencing the value of securities, should be disclosed.
• Stock-Settled Derivatives (including options): Activities such as writing, selling, purchasing, or varying options, as well as the exercise of these derivatives, are included.
• Other Dealings: Any additional actions, such as subscribing for new securities, need to be documented.

Other Relevant Information

• Indemnity and Dealing Arrangements: Disclose any agreements that cover indemnities or specific trading arrangements made in conjunction with the securities dealings.
• Option and Derivative Agreements: Any arrangements or understandings linked to derivatives or options must be clarified in the submission.

Regulatory Compliance

All public disclosures mandated by Rule 8 must be submitted to a Regulatory Information Service. Adhering to these reporting requirements helps in managing investment risk and ensures that all actions concerning a stock portfolio are transparent and compliant.

For comprehensive details, refer to the official Takeover Code on the Panel’s website.

This content is for informational purposes only and does not constitute financial advice.