New ICAEW Guidance On Financial Reporting Procedures

1 September 2013 will see the implementation of new guidance issued by the Institute of Chartered Accountants in England and Wales (ICAEW) (the "Guidance") in relation to the financial reporting procedures ("FRPs") that directors of companies seeking a premium listing must establish. While the primary focus of the Guidance relates to Main Market practice, changes will also be seen in the FRPs (to be renamed Financial Positions and Prospects ("FPPs") under the Guidance) of companies seeking admission to AIM, as the Guidance attempts to align all market procedures. Accordingly, the Guidance will be of interest to sponsors, nomads and corporate advisers alike.

One key area that the Guidance addresses is the approach that sponsors, nomads and corporate advisers should take in respect of their regulatory obligations relating to FFPs. The changes will have a particular impact on nomads who, under the Guidance, will be encouraged to assume a more involved role in the