The shareholders of the Bucharest Stock Exchange (BVB) approved on January 29th, in the Extraordinary General Meeting of Shareholders the founding of a joint stock company, in accordance with the provisions of Law 31/1990, that will be authorized to act as local CCP.
The main activity of the CCP will be “clearing operations consisting in the determination of positions, including calculation of net obligations and obligations to ensure availability of financial instruments, of cash, and/ or availability of both, so as to cover exposures resulting from such positions, as well as other services and activities related to clearing and the operation of the financial instrument settlement system”
The initial aggregate share capital will be of at least 15 million EUR. The final amount will be approved by the Board of Governors, based on the technical-financial requirements necessary to have a fully operational CCP. Bucharest Stock Exchange capital contribution to the CCP’s capital will not exceed 10 million EUR.
The BVB Board of Governors will be the body taking all measures and will conduct all operations (administrative, economic, financial and legal) including but without limiting to:
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Identifying and selecting the co-shareholders` in CCP within 3 months after the date of the BVB resolution
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Conducting all negotiation with the co-shareholders
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Approving the final BVB contribution to the share capital of the CCP
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Approving the class of instruments that will be serviced by the CCP
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Selecting and approving a technical/IT solution for the clearing/settlement system
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Issuing and submitting any documents, notices, requests, statements required or useful to any relevant entities in view of incorporating the CCP
Impact on investors: The institutional infrastructure of the Romanian capital market will be enhanced by the establishment of the local CCP.