Clifford Chance
Wall crossing - Walking the regulatory tightrope: September 2014
4 September 2014
There is a tension between active shareholder engagement and the inherent risks of committing market abuse through improper disclosure of inside information. This briefing considers the art of walking the regulatory tightrope when carrying out wall crossing.
Confidential pre soundings and pre marketing activities take place in advance of capital raisings, refinancing and other transactions, prior to formal announcements, to gauge interest in, or support for, a particular transaction (and its potential pricing, where relevant). As part of such activities, inside information is likely to be imparted to market participants. Wall crossing is the act of making a person an “insider” by providing them with inside information.
