LSE rules & regs

A reply ,dated 09 Oct 06, from the LSE AIM regulation dept regarding Director dealing on AIM:

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Dear sir,

Please find attached a link to the AIM rules which, amongst other things, govern the rules for directors dealings:



I would bring your attention specifically to rules 17, 21 and 31 as well as Schedule 5 and the Glossary (particularly the meaning of 'close period' on page 1-25)

Kind regards,
LSE

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17. Disclosure of miscellaneous information

An AIM company must issue notification without delay of:
♦ any deals by directors disclosing, insofar as it has such information, the information specified by Schedule Five;
♦ any relevant changes to any significant shareholders, disclosing, insofar as it has
such information, the information specified by Schedule Five;
♦ the resignation, dismissal or appointment of any director, giving the date of such
occurrence and for an appointment, the information specified by Schedule Two
paragraph (g) and any shareholding in the company;
♦ any change in its accounting reference date;
♦ any change in its registered office address;
♦ any change in its legal name;
♦ any material change between its actual trading performance or financial condition and any profit forecast, estimate or projection included in the admission document or otherwise made public on its behalf;
♦ any decision to make any payment in respect of its AIM securities specifying the net amount payable per security, the payment date and the record date;
♦ the reason for the application for admission or cancellation of any AIM securities;
♦ the occurrence and number of shares taken into and out of treasury, as specified by Schedule Nine;
♦ the resignation, dismissal or appointment of its nominated adviser or broker.

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21 Restriction on deals

An AIM company must ensure that its directors and applicable employees do not deal in any of its AIM securities during a close period. In addition, the purchase or early redemption by an AIM company of its AIM securities or sale of any AIM securities held as treasury shares must not be made during a close period.

This rule will not apply, however, where such individuals have entered into a binding commitment prior to the AIM company being in such a close period where it was not reasonably foreseeable at the time such commitment was made that a close period was likely and provided that the commitment was notified at the time it was made.

The Exchange may permit a director or applicable employee of an AIM company to sell its AIM securities during a close period To alleviate severe personal hardship.

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31. Directors’ responsibility for compliance

An AIM company must ensure that each of its directors:

accepts full responsibility, collectively and individually, for its compliance with these rules;

discloses without delay ♦ all information which it needs in order to comply with rule 17 insofar as that information is known to the director or could with reasonable diligence be ascertained by the director; and

seeks advice from its nominated adviser regarding its compliance with these rules whenever appropriate and takes that advice into account.

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page 1-25 close period

(i) The period of two months preceding the publication of an AIM company’s annual results (or, if shorter, the period from its financial year end to the time of publication); and

♦ if it reports only half-yearly, the period of two months immediately preceding the notification of its half-yearly report or, if shorter, the period
from the relevant financial period end up to and including the time of the notification, or

♦ if it reports on a quarterly basis, the period of one month immediately preceding the notification of its quarterly results or, if shorter, the period from the relevant financial period end up to and including the time of the notification.

(ii) any other period when the AIM company is in possession of unpublished price sensitive information; or

(iii) any time it has become reasonably probable that such information will be required by these rules to be notified.