CVM released an Instruction (nº 548, of May 6th 2014) that amends, adds and repeals certain provisions of CVM Instruction nº 400, of December 29th 2003, which defines the rules applicable to public offerings ​​in the primary and secondary markets.

In this new Instruction, the major change was the introduction of art. 54-A , which eliminates the requirement to publish notices regarding  public offers in newspapers, namely, announcements to the market, announcements of the beginning and termination of securities distribution period and other disclosures related to such offerings. Therefore, the disclosure/publication of those facts become mandatory in the pages of the website of the issuer; the offeror or; the financial institution in charge of the offers of the organized securities market managing entities where the ​​issuer's securities are admitted to trading; and CVM.

If the Company decides to disclose its offering in a newspaper, it should always indicate the pages in its website where investors can obtain detailed and complete information, whenever possible, through hyperlink.

Additionally, the requirement to deliver  a copy of the final or the preliminary prospectus in the headquarters of the investor, the issuer, the offeror, the financial  institutions members of the consortium and the exchange or OTC markets where the issuer's securities are admitted to trading was eliminated.

Finally, the Instruction added other means of communication regarding an offer and the investors who had already agreed to these offers, such as: e-mail, postal mail or any other form of communication that can demonstrate the changes that were made.

We remain at your disposal for any clarification regarding the matter concerned.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.