BAKU, Azerbaijan, March 12. The Central Bank of Azerbaijan (CBA) has set two targets for the current year aimed at minimizing shortcomings in emission prospectuses, said Asaf Mammadov, CBA Head of Licensing and Securities Registration Division, Trend reports.
In his address at the 12th International Caspian Investment Forum in Baku, Mammadov emphasized that preparing an emission prospectus is a complex process.
“We have always tried to provide necessary support to issuers. Last year, we approved a record number of emission prospectuses, totaling 65. But we are not stopping there. This year, we have set two main goals for minimizing the shortcomings in this field.
The first goal is to hold presentations for market participants addressing the most common issues. We have already started working on this and plan to organize a comprehensive presentation with investment companies and active issuers in the coming months.
The second plan is to provide methodological support related to emission prospectuses. This will include preparing documents and presentations for both the emission prospectus and the market prospectus. Additionally, the use of artificial intelligence technology in this process is also being considered for the future," he said.
The department head further explained that the role of companies should go beyond just supporting issuers’ market entry. Their effective activity could significantly aid in producing higher-quality prospectuses and speeding up the registration process.
“Recently, we have noticed that issuers and underwriting companies sometimes prepare the prospectuses separately, which leads to more errors. We recommend that issuers and underwriting companies collaborate closely when preparing these prospects, as this will reduce the number of issues.
Sometimes underwriting companies impose conditions that are not in line with the issuers' plans or strategies. This can lead to shortcomings in the process, which we assess as errors,” he added.
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