Suspension and cancellation of listing and trading

The following Corporate practice note provides comprehensive and up to date legal information covering:

  • Suspension and cancellation of listing and trading
  • Suspension of listing on the Official List
  • Suspension by the FCA
  • Suspension at the issuer's request
  • Power to suspension, restrict or prohibit trading or an offer to the public
  • Cancellation of listing
  • Cancellation by the FCA
  • Cancellation at the issuer's request
  • Requirements
  • Waiver of 20 business day notice period
  • More...

Suspension and cancellation of listing and trading

The Financial Conduct Authority (FCA) has the power, in accordance with the Listing Rules (LRs), to suspend and/or discontinue the listing of any securities if satisfied that special circumstances have arisen which mean that normal dealings in the securities in question cannot take place.

Suspension of listing on the Official List

An issuer's listing may be suspended by the FCA alone or at the issuer's request.

Suspension by the FCA

The FCA may suspend the listing of securities, imposing such conditions on the procedure for lifting the suspension as it considers appropriate:

  1. if the smooth operation of the market is, or may be, temporarily jeopardised, or

  2. to protect investors

The circumstances where the FCA may suspend the listing of securities include:

  1. the issuer failing to meet its continuing obligations for listing

  2. the issuer failing to publish financial information in accordance with the LRs

  3. the issuer is unable to assess accurately its financial position and informs the market accordingly

  4. there is insufficient information in the market about a proposed transaction

  5. the issuer's securities have been suspended elsewhere, or

  6. the issuer has appointed administrators or receivers or is an investment trust and is winding up

The FCA will not suspend the listing of a security to fix the price of such security at a particular level.

Suspension (as distinct from cancellation or discontinuance) is a temporary measure.

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