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Supplementing Regulation (EU) 2017/1129 of the European Parliament and of the Council as regards the format, content, scrutiny and approval of the prospectus to be published when securities are offered to the public or admitted to trading on a regulated market
Article 38

Article 38 — Criteria for the scrutiny of the consistency of the information contained in the prospectus

For the purposes of scrutinising the consistency of the information in a draft prospectus, the competent authority shall consider all of the following:

  1. whether the draft prospectus is free of material discrepancies between the different pieces of information provided therein, including any information incorporated by reference;
  2. whether any material and specific risks disclosed elsewhere in the draft prospectus are included in the risk factors section;
  3. whether the information in the summary is in line with information elsewhere in the draft prospectus;
  4. whether any figures on the use of proceeds correspond to the amount of proceeds being raised and whether the disclosed use of proceeds is in line with the disclosed strategy of the issuer;
  5. whether the description of the issuer in the operating and financial review, the historical financial information, the description of the issuer’s activity and the description of the risk factors are consistent;
  6. whether the working capital statement is in line with the risk factors, the auditor’s report, the use of proceeds and the disclosed strategy of the issuer and how that strategy will be funded.