The U.S. Securities and Exchange Commission (SEC), the supervisory authority of the U.S. capital markets, has recognized the “Hellenic Exchanges–Athens Stock Exchange S.A. (ATHEX) as a “Designated Offshore Securities Market (DOSM)” within the meaning of Rule 902 of Regulation S under the U.S. Securities Act of 1933, as amended. With this designation, ATHEX joins a number of leading international stock exchanges which have already been designated as DOSM.
The designation of Hellenic Exchanges–Athens Stock Exchange S.A. as DOSM provides several advantages to both investors and issuers:
- All kinds of securities issued in Greece and listed and traded on the Athens Stock Exchange may now be resold, without requiring the seller to form a prior reasonable belief that the buyer is outside of the United States. Prior to that, investors who wished to sell such securities (i.e., equity or debt securities issued by ATHEX listed companies in a private placement under the U.S. securities laws) had to take certain measures to ascertain the location of the purchaser prior to re-selling. With this designation, investors will be able to resell such securities without having to follow procedures to ensure that the securities are not being purchased by a buyer in the United States or a U.S. person. Consequently, trading in the securities listed on ATHEX will be more facilitated.
- A more liquid resale market is expected to develop, which is likely to make private placements of Greek securities issued by ATHEX-listed companies more attractive to U.S. investors.
- Moreover, subject to satisfying certain other criteria, the DOSM designation will also facilitate the dissemination of research reports during offerings of securities (including private placements of debt and equity securities) by issuers whose shares traded on ATHEX for at least twelve months.