Act on Securities Trading (Securities Trading Act)

Part 4. Regulated markets

Chapter 11. Application and conditions for authorisation as a regulated market

I. Authorisation, application and withdrawal

Section 11-1.Authorisation to operate a regulated market and ongoing conformity with conditions
(1) A regulated market may only be operated by a market operator authorised to do so by the ministry.
(2) Authorisation pursuant to subsection (1) shall only be granted where the ministry deems that the conditions in chapters 11 and 12 and supplementary regulations are met.
(3) The market operator is responsible for ensuring that the regulated market and the market operator itself organises its business in such a way that it conforms at all times with this Act and with the terms and conditions of the authorisation, and shall inform the ministry of any material changes in the assumptions underlying the authorisation. The market operator shall be entitled to exercise rights on behalf of the regulated market under this Act.
(4) Undertakings not authorised as market operator of a regulated market under this Act shall not use the designation ‘regulated market’ in or as an addition to its name, or in referring to its activities, if such use is likely to create the impression that the firm has authorisation pursuant to this Act.
(5) The ministry may by regulations prescribe which provisions under the Act shall apply to both the market operator and the regulated market where these are two different legal entities.
(6) The ministry may make regulations to supplement this section.
Section 11-2.Application for authorisation
(1) The market operator shall in its application for authorisation submit all information needed by the ministry to ensure that the statutory requirements applicable to regulated markets and market operators are met, including a programme of operations in which it provides, inter alia, information on the nature of the business and the organisation thereof. Draft rules and terms of business shall be appended to the application. The ministry may request further information.
(2) The decision regarding authorisation shall be communicated to the applicant as soon as possible and at the latest six months after the application was received. If the application does not contain information necessary to decide whether authorisation should be granted, the time limit runs from the date on which such information was received.
(3) The ministry may make regulations to supplement this section.
Section 11-3.Modification and withdrawal of authorisation
(1) The ministry may entirely or in part modify, set new conditions for or withdraw the authorisation of a market operator if:
1.the market operator fails to use the authorisation within twelve months of issue, expressly renounces the authorisation or has ceased to operate the regulated market more than six months previously,
2.the market operator has obtained the authorisation by using incorrect information or by other irregular means,
3.the market operator no longer meets the conditions under which the authorisation was granted, including the requirement for own funds,
4.the market operator has seriously or systematically infringed provisions laid down in or pursuant to law, thus giving reason to fear that continuation of the activity may harm regulated market participants, confidence in the securities market or the institutions operating in the market, or
5.the market operator fails to comply with an order under section 19-7 or the Financial Supervision Act, section 4-1.
(2) The ministry may make regulations to supplement this section.
Section 11-4.Merger and demerger of regulated market etc.
(1) Any resolution regarding merger or demerger of market operators shall be communicated to the ministry at least three months prior to implementation of the resolution. The same applies upon the disposal of a material part of a business which is subject to authorisation requirements. In case of doubt the ministry shall determine whether the disposal involves a material part of the business which is subject to authorisation requirements. The ministry may, no later than three months from receipt of such notification, refuse the merger, demerger or disposal, set conditions for implementation of the transaction or amend the authorisation.
(2) The ministry may make regulations to supplement this section.
Section 11-5.Activities abroad
(1) The market operator of a Norwegian regulated market intending to engage in activities abroad through a subsidiary or branch shall have authorisation from the ministry.
(2) The ministry may make regulations to supplement this section.