BASE PROSPECTUS OF TOKENISED BONDS UNDER SLOVAK LAW APPROVED ✅

More than two and a half years ago, we published an article on Highgate Law & Tax about the issuance of tokenized stocks and bonds. It took us a while to translate this concept into a public offering of bonds with a prospectus in Slovakia.

For our client, DIFOSIS SE, we prepared a supplement to the base prospectus in November, which allowed the bonds to be registered also in the DLT registry under the DLT Pilot Regime Regulation. Subsequently, a week ago, a new base prospectus containing the same provision was also approved by the client.

Such a public offering would make no practical sense for Slovak securities without a notification to Slovakia by CSD Prague (Central Securities Depository Prague), which was the first entity in the EU to obtain DLT SS authorisation.

This is also an example of how Peter Varga and I are working together on innovative solutions in the capital markets practice. At the same time, I have no doubt that also in view of the current proposals by ESMA and the European Commission to increase the flexibility of the DLT pilot regime, the option of DLT registration of securities will start to appear more and more frequently in prospectuses.

🔎 P.S. The European Commission’s latest press release on the financial markets integration package, which includes changes to the DLT regime, is attached.