The Offering of Shares Outside of Ukraine: The Procedure, Legal Issues and Positive OrientationsJournal: LAW AND INNOVATIVE SOCIETY (Vol.1, No. 3)
Publication Date: 2014-11-11
Authors : POTEREIKO S. O.;
Page : 94-101
Keywords : Joint-Stock Company; emission of shares; public offering; Ukrainian issuers; stock market; stock exchange.;
Problem setting. The dynamics of legal regulation in the sphere of securities still at an early stage for a long time, despite the concepts and plans of the National Commission on Securities and Stock Market to change and simplify the exchange operations, the public offering of securities by Ukrainian companies on foreign stock markets is problematic. Analysis of recent researches and publacations. V. Reznikova studied public offering on a national stock market in terms of financial intermediation, I. B. Sarakun, O. Vinnyk also studied that issue, but they considered the sale of shares only in terms of procedure for exercising corporate rights. I. Spasibo-Fateeva and Y. Zhornokuy researched the actual problems of exercising corporate rights. But the question about accession to other stock markets is opened. Target of research. The aim of this research is to establish the disadvantages of regulation of attracting investment through the emission of shares of company stock, implementation of subjective rights of property and identify possible ways to eliminate restrictive regulations for Ukrainian issuers. Article’s main body. During the economic crisis in Ukraine one of the outputs from it, in my opinion, is to raise Ukrainian capital through the issue of shares in Ukraine and abroad, which affect to strengthen the national currency due of converting it to enter the securities in the international market. According to that, any public offering abroad confirms the perception of the international community Ukraine’s stock market as at least an emerging market and will be a precondition for cross-border transactions with other financial assets. Exiting corporation in European stock markets will be an ability, which has at least two positive legal effects: Ukrainian issuers could master the best principles of transparency and provision the information about stocks and shares, what help them to obtain adequate price and, therefore, corporate right of each shareholder. Conclusions of research. In order to strengthen the public stock market, attract a wider range of foreign investors in the Ukrainian market and to increase the turnover of shares of Ukrainian companies outside of Ukraine, it is necessary to cancel the permit or to convert it into accounting measures. This will facilitate the access of Ukrainian companies to foreign capital markets and provide an opportunity for Ukrainian investors use financial instruments of foreign markets. Of course, we need to save all of the requirements and the presentation of the consolidated interim financial statements about the Company. National Commission on Securities and Stock Market of Ukraine promotes to accelerate issuers to deployment of raising capital in circulation in Ukraine, get rid them of paying in connection with the creation of a legal entity abroad and help issuers get adequate market price of the shares by the simultaneous circulation of shares in Ukraine and abroad.
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