During fall 2013, Nasdaq Stockholm assigned a special “IPO-task force” to investigate if any improvements could be offered to potential listing applicants with respect to the IPO process. The outcome of the task force’s investigation was, among other things, that there was a demand, especially within the private equity sector, to establish a procedure to conduct faster listing procedures for companies that are well prepared for an IPO. In line herewith, Nasdaq Stockholm introduced a fast track procedure in January 2015.
This alternative will make it possible to conclude the formal listing process in five weeks from the exchange auditor’s start-up meeting until the listing committee’s decision. It is important to understand that the fast track alternative places the same responsibilities on the applicant in terms of fulfilling Nasdaq Stockholm’s Rule Book requirements for a listed company and the company must complete and document its capabilities by way of a pre-audit/pre-IPO-review. In addition, a draft prospectus, which is complete in all material respects, and a legal examination, including an honesty and integrity assessment of executive managers and the board of directors, must be prepared in advance.
The fast track process is expected to make it possible to conclude the IPO-process in two to three months compared to the standard formal listing procedure that normally takes four to six months to conclude.
As of today, no fast track listing has yet been concluded but Nasdaq Stockholm has received inquiries from several interested candidates and Nasdaq Stockholm believes that we will see fast track procedures in the future. For more information about the listing procedure on Nasdaq Stockholm, we welcome you to order a complimentary copy of the fifth anniversary edition of Baker & McKenzie’s Cross-Border Listings Handbook.