Separate Lines

SWX Europe has the technology to open an additional order book featuring a separate security number for an existing security. The opening of a separate trading line does not constitute an actual listing, but makes it possible to trade an SWX listed security traded on SWX Europe under a separate security number for a limited time.

A separate line may be traded on SWX Europe for the following reasons:

• Public takeover/exchange offers
  The additional trading line is used exclusively for the purpose of trading securities in connection with public takeover/exchange offers.
• Buy-backs of equity securities
  The additional trading line is used exclusively by a company to buy back its own securities until the target figure has been achieved.

Public takeover/exchange offers

Provisions in respect of separate line trading in connection with public takeover offers for cash or public exchange offers:

• A member may post bid prices in the order book on behalf of the offer;
• Bid prices may not be above the public tender price or the corresponding countervalue of the equity securities sought in connection with a public exchange offer for cash;
• A member may post ask prices in the order book except prices on behalf of the offer.

Buy-back of equity securities

The following provisions apply to programmes in a buy-back of equity securities pursuant to an offer by a company:

• Only members of SWX Europe appointed by the issuer are permitted to place a buy order in the order book;
• Any trade involving buy orders by third parties will be cancelled by SWX Europe;
• Automatic settlement is suppressed for separate line transactions and members must ensure correct bilateral settlement of such transactions.

Further information on the integrity and transparency of trading on a separate line is set out in Directive 19: Separate Line trading.