Entry Standard – Frankfurt Stock Exchange Glossary

Entry Standard

Capital market access provided by Deutsche Börse for small and medium-sized companies as an alternative to EU-regulated segments

Entry Standard is a transparency standard within the Open Market (Regulated Unofficial Market) with additional requirements. Companies in Entry Standard must meet the following criteria and publish on their website:

  • significant company news or circumstances that may be significant for the valuation of the respective stock/issuer
  • the audited consolidated financial statements and management report (respective national accounting principles or IFRS) no later than six months after the end of the reporting period
  • a brief, up-to-date profile of the company and a calendar of company events
  • an interim report no later than three months after the end of the first half.

Inclusion in Entry Standard does not equal admission to a regulated market in the sense of article 2, para. 5 of WpHG (German Securities Trading Act). In Entry Standard, the provisions for organized markets do not apply. This particularly concerns the following stipulations:

  • admission to the stock exchange (article 3, para 2 of AktG – German Stock Corporation Act)
  • obligation to publish ad-hoc announcements (article 15 of WpHG – German Securities Trading Act)
  • notification when threshold levels are reached (article 21 of WpHG – German Securities Trading Act)
  • mandatory offer in the case of a change of control (WpÜG – German Securities Takeover Act)
  • publication of a prospectus in the case of a private placement (article 3 of WpPG – German Securities Prospectus Act)

Therefore, Entry Standard is primarily aimed at qualified investors in the sense of article 2, para. 6 of WpPG (German Securities Prospectus Act), who are able to assess and accept the potential risks related to the investment in shares of the respective organization. Investors must be aware of the fact that this part of the Open Market (Regulated Unofficial Market) on the Frankfurt Stock Exchange is not subject to the high Europe-wide transparency standards and strict provisions for investor protection on organized markets.

If you are interested in listing on the frankfurt stock exchange, contact info@fselistings.com