SME growth market

(1) The exchange operator may have an open market, or a segment of an open market, registered with the exchange supervisory authority as a growth market for small and medium-sized enterprises (SME growth market), provided the following requirements are satisfied: 1. at least 50 per cent of the issuers whose financial instruments are included in trading in the open market are small and medium-sized enterprises; 2. the exchange operator has laid down suitable criteria for including financial instruments in trading in the open market; 3. the exchange operator makes the inclusion of financial instruments in trading in the open market conditional on the publication, at admission, of sufficient information to enable the public to make an informed assessment of the issuer and the financial instruments; this information consists either of an inclusion document or a prospectus, where requirements laid down on the basis of Regulation (EU) 2017/1129 apply with regard to a public offer in connection with the original inclusion of the financial instrument in trading in the open market; 4. the exchange operator ensures that appropriate ongoing financial reporting takes place by the issuer whose financial instruments are included in trading in the open market, in particular through audited annual reports; 5. the issuers defined in Article 3(1), point 21 of Regulation (EU) No 596/2014, and the persons defined in Article 3(1), point 25 of Regulation (EU) No 596/2014 who discharge managerial responsibilities within an issuer, as well as the persons defined in Article 3(1), point 26 of Regulation (EU) No 596/2014 who are closely associated with them, satisfy the respective requirements applicable to them under Regulation (EU) No 596/2014; 6. the exchange operator records information published by an issuer on account of a legal obligation and makes it publicly available; and 7. the exchange operator establishes effective systems and controls suitable for detecting and preventing market abuse on that market under Regulation (EU) No 596/2014. The possibility for the exchange operator to lay down additional requirements remains unaffected.
(1a) Where the SME growth market is a segment of an open market, the following requirements must be satisfied in addition to those named in subsection (1): 1. the segment of the open market registered as an SME growth market is clearly separated from the other segments of the open market operated by the exchange operator; in particular the segment bears a different name, has a different rulebook, uses a different marketing strategy, has a different media presence, and has a specifically assigned trading venue identification number; 2. transactions concluded in the particular SME growth market segment are clearly distinguishable from other market activity within the other segments of the open market; and 3. at the request of the exchange supervisory authority, the operator of the open market submits a comprehensive list of the instruments listed in the SME growth market segment concerned, and any information on the functioning of the SME growth market segment that may be required by the competent authority.
(1b) Where an issuer terminates the inclusion of securities in trading on the SME growth market, section 39(2) to (6) applies accordingly, unless it applies for admission of those securities to trading in the regulated market.
(2) The exchange supervisory authority revokes the registration of an SME growth market where the exchange operator applies for this, or where the conditions for registration under subsection (1) or (1a) no longer exist. The exchange supervisory authority informs BaFin and the European Securities and Markets Authority without delay of the registration of an SME growth market and of its revocation.
(3) A financial instrument included in trading in the open market may be traded on another SME growth market only where the issuer of the financial instrument has been informed of this and has not objected. In that case no obligations arise for the issuer, with regard to that other SME growth market, relating to corporate governance and control, or to initial, ongoing or ad hoc disclosure obligations.