The European Commission (EC) first published proposals in June 2001 for a directive that would introduce a new single ‘passport’ for issuers so that once a prospectus has been approved by the home country authority of the issuer, it would have to be accepted throughout the EU for public offers and/or admission to trading on regulated markets.
The proposals were intended to facilitate easier and cheaper pan-European capital raising thanks to harmonised disclosure standards and better access to information. They would also remove disparities in the treatment of retail investors within the EU by standardising the definition of a public offer.
