Stockholm, February 10, 2016 — The Disciplinary Committee of Nasdaq Stockholm has ruled that PA Resources AB (“PA Resources”) has breached Nasdaq Stockholm’s regulations (“the Rule Book”), and therefore ordered PA Resources to pay a fine of SEK 298.500, corresponding to three times the company’s adjusted annual fee.
The shares in PA Resources AB (publ) were traded on Nasdaq Stockholm (the “Exchange”) until January 15, 2016. The Rule Book’s provisions on sanctions in Section 5 also apply for a period of one year after delisting if the breach is committed during the listing period.
The matter of PA Resources’ failure to comply with items 3.1.1, 3.1.5 and 3.2.2 of the Rule Book has arisen due to the comments made by PA Resources regarding the company’s financial situation in the media in May 2015 and the delay in publishing its interim report for the first quarter of 2015.
PA Resources has been subject of considerable attention since autumn 2014 due to the company’s strained financial situation. PA Resources applied for corporate restructuring in March 2015 and this process has now been completed. In the opinion of the Disciplinary Committee, a company with an uncertain financial position should exercise particular caution when making statements to the media and the public, which the Exchange also reminded PA Resources about. Although the statement in question may seem relatively innocent – and contained reservations – there is no doubt, in the Committee’s view, that the statement constituted price sensitive information considering the company’s situation, which is also confirmed by the share price trend immediately following the publication of the statement. The statement should therefore have been issued in the manner prescribed in Sections 3.1.1 and 3.1.5 of the Rule Book, i.e. published in a press release made available to the public in a non-discriminatory manner.
The Disciplinary Committee also maintains that by delaying the publication of its interim report for the first quarter of 2015, PA Resources has breached item 3.2.2 of the Rule Book, and Chapter 16, Section 7 of the Securities Market Act (2007:528).
The Disciplinary Committee orders PA Resources AB to pay a fine corresponding to three annual fees, with the provision that each annual fee amount to half of the company’s last-paid annual fee to the Exchange. Accordingly, in determining the amount of the fine, the Disciplinary Committee has taken into account the fact that the company has now been delisted and that the market value of the company has changed significantly since it was delisted.
A detailed description of the matter, and the Disciplinary Committee’s decision, have been published on:
Participating in the Committee’s decision were former Supreme Court Justice Johan Munck, Company Director Anders Oscarsson, Company Director Stefan Erneholm, Company Director Erik Einerth and Company Director Jack Junel.
About the Disciplinary Committee
The role of Nasdaq Stockholm’s Disciplinary Committee is to consider suspicions regarding whether Exchange Members or listed companies have breached the rules and regulations applying on the Exchange. If the Exchange suspects that a member or a listed company has acted in breach of the rules and regulations, the matter is reported to the Disciplinary Committee. The Exchange investigates the suspicions and pursues the matter and the Disciplinary Committee issues a ruling regarding possible sanctions. The sanctions possible for listed companies are a warning, a fine or delisting. The fines that may be imposed range from one to 15 annual fees. The sanctions possible for Exchange Members are a warning, a fine or debarment. Fines paid are not included in the Exchange’s business but are attributed to a foundation supporting research in the securities market. The Disciplinary Committee’s Chairman and Deputy Chairman must be lawyers with experience of serving as judges. At least two of the other members of the Committee must have in-depth insight into the workings of the securities market.
Members: Former Supreme Court Justice Johan Munck (Chairman), Supreme Court Justice Marianne Lundius (Deputy Chairman), Supreme Court Justice Ann-Christine Lindeblad, Company Director Erik Einerth, Company Director Stefan Erneholm and Company Director Anders Oscarsson. Deputies: Former Authorized Public Accountant Bo Magnusson, Lawyer Wilhelm Lüning, Company Director Jack Junel, Ragnar Boman (MBA) and Carl Johan Högbom (MBA).
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Media contact:Christina Malmberg Hägerstrand+46 8,405 65 83christina.hagerstrand @nasdaq.com
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