London Stock Exchange Plc censures Seymour Pierce for breaches of the AIM Rules for Nominated Advisers

  • Seymour Pierce fined £400,000
  • AIM Rules for Nominated Advisers breached in two key areas

London Stock Exchange Plc today announces that the AIM Disciplinary Committee (ADC) has publicly censured and fined Seymour Pierce Limited £400,000 for breaches of the AIM Rules for Nominated Advisers (Nomad).

The London Stock Exchange found Seymour Pierce had failed to meet the standards required of a Nomad in two key areas:

·         Seymour Pierce did not provide proper advice and guidance to an AIM company in respect of its obligations to make announcements without delay, specifically relating to its changing financial situation and liabilities; and
·         Seymour Pierce did not satisfy its obligation to the London Stock Exchange to undertake adequate due diligence and to properly assess the appropriateness of a company seeking admission to AIM.

The public censure and fine have been agreed by the London Stock Exchange and Seymour Pierce by way of a consent order approved by the ADC. Of the £400,000 fine, £200,000 is payable immediately. The remainder will be payable in the event that Seymour Pierce’s performance falls materially below the standard required of it as a Nomad within the next 24 months.

Nilam Statham, Head of AIM Regulation said:

“The role of the Nomad is central to AIM’s regulatory framework. Nomads have key responsibilities, both in terms of assessing the suitability of companies for the public market and in properly advising and guiding companies once admitted to AIM.

“As part of the London Stock Exchange’s commitment to maintaining the integrity and success of AIM, we work with Nomads to ensure that they have a clear understanding of their regulatory obligations and are accountable for performing their duties in line with the required regulatory standards, for the benefit of all market participants.”   

The London Stock Exchange has noted that since the events set out in the public censure there have been a number of significant changes within Seymour Pierce’s governance and management.

The Public Censure is available for download here: http://www.londonstockexchange.com/companies-and-advisors/aim/advisers/aim-notices/aim-notices.htm

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For further information, please contact:

Tom Gilbert                                       Press Office +44 (0)20 7797 1222                                                          newsroom@londonstockexchange.com

Notes to editors:

About London Stock Exchange Group:

London Stock Exchange Group (LSE.L) sits at the heart of the world’s financial community. The Group operates a broad range of international equity, bond and derivatives markets, including London Stock Exchange; Borsa Italiana; MTS, Europe's leading fixed income market; and Turquoise, offering pan-European and US lit and dark equity trading. Through its markets, the Group offers international business unrivalled access to Europe’s capital markets.

The Group is a leading developer of high performance trading platforms and capital markets software and also offers its customers around the world an extensive range of real-time and reference data products and market-leading post-trade services. 

Headquartered in London, United Kingdom with significant operations in Italy and Sri Lanka, the Group employs around 1500 people. Further information on London Stock Exchange Group can be found at www.londonstockexchangegroup.com.