THE INTERNATIONAL STOCK EXCHANGE GROUP LIMITED
Registration No: 57524
Registered Office: Helvetia Court, Block B, Third Floor, Les Echelons, St Peter Port, Guernsey GY1 1AR
MARKET UPDATE - QUALIFYING asset holding companies
The Board of directors (Board) of The International Stock Exchange Group Limited notes the recently published response by HM Treasury to its consultations on the Taxation of Asset Holding Companies in Alternative Fund Structures (the HMT Response).
The HMT Response includes an initial set of draft legislative clauses covering some elements of its prospective asset holding company regime. After a further period of technical consultation, UK legislation introducing changes to the taxation of qualifying asset holding companies (QAHCs) is likely to be included in the next Finance Bill in April 2022. Under the prospective legislation, UK resident companies who meet certain eligibility tests and elect for the QAHC regime to apply, may no longer need to list on exchanges like TISE in order to avail themselves of the Quoted Eurobond Exemption (QEE) from UK withholding tax on interest in the UK from April 2022.
A substantial proportion of TISE issuers continue to report “availing of the QEE” as their principal reason for listing securities on TISE. However, it is not currently possible to identify how many issuers will be eligible to, and elect for, the QHAC regime under the prospective UK legislation. The impact on the volume of new, and possibly existing, listings on TISE is unclear and likely to remain so for some time.
The Board is therefore continuing its focus on attracting listings in other areas, including the Qualified Investor Bond Market, as well as refining TISE's operations and enhancing its technology to ensure that it can offer the very highest standards of services to clients within a newly expanded suite of products and markets.
Further updates will be provided, as and when appropriate.
All enquiries in relation to this announcement should be addressed to: Bedell Channel Islands Limited - Listing Sponsor Email: TISE-Helpline@bedellcristin.com