02 Jul 25 Eased requirements for prospectus updates and elimination of the annual confirmation for frequent issuer status

By Martín Chindamo, Valentina Circolone and Tomás Mingrone

By means of Resolution No. 1,073 (hereinafter, the «Resolution«), the Argentine Securities Commission (hereinafter, the «CNV«, by its acronym in Spanish) introduces amendments to the regime applicable to the update of prospectuses and global issuance programs, both under the general regime and under the CNV SME and CNV SME Guaranteed regimes.

This Resolution eliminates the obligation to update prospectuses annually due to the approval of financial statements corresponding to a new fiscal year, making such procedure optional. If the issuer chooses to update the prospectus, it must be accompanied by a report issued by an independent public accountant, providing an opinion on the information contained therein.

Nevertheless, the information previously included in updated prospectuses must now be incorporated into the prospectus supplement for each issuance made under a global program.

In addition, the Resolution also applies to global programs for the issuance of notes under the CNV SME and CNV SME Guaranteed regimes, establishing that the annual update of the prospectus shall also be optional. In these cases, the relevant information must be included in the prospectus supplement submitted in connection with each issuance.

Furthermore, regarding the Frequent Issuer Regime, the obligation to annually ratify such status is eliminated. The status will remain valid as long as the issuer continues to meet the requirements set forth in the applicable regulations, without the need for additional filings. However, the CNV may: (i) request additional information or specific documentation in exceptional circumstances; or (ii) revoke the Frequent Issuer status in case of non-compliance.