Key takeaways
In depth
Shelf and post-receipt pricing ("PREP") prospectuses
For shelf prospectuses and PREP prospectuses, the Access Model permits the Issuer to file a single news release disclosing material information about the offering and announcing that the prospectus supplement or supplemented PREP prospectus will be available via SEDAR+ within two business days.
Withdrawal rights
Generally, withdrawal rights expire after two business days from the later of (a) the date of filing of the final prospectus on SEDAR+ and the issuance of the requisite news release, and (b) the date that a purchaser enters into an agreement to purchase the security.
Implications
Since the delivery of physical copies of prospectuses to investors is financially burdensome and time-consuming for Issuers, establishing an (optional) electronic, environmentally friendly method for delivery not only reduces the burden to Issuers in complying with securities legislation, but also streamlines the process of delivering prospectuses; benefiting Issuers, dealers and investors.
The adoption of the Access Model signals a trend towards the future implementation of a revised access model for other document types, such as annual financial statements and management’s discussion and analysis. The CSA is working on developing a further revised access model that improves access to such documents while still balancing investor protection concerns.
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