Listing on the Stock Exchange in Bulgaria

The Bulgarian Stock Exchange in Sofia is the only functioning stock exchange in Bulgaria. It received a licence to operate as a stock exchange in 1997.

The main exchange activities of the Bulgarian Stock Exchange are as follows:

– organizing trading in securities and other financial instruments;

– establishing and maintaining a clearing system that guarantees the obligations assumed under the executed securities transactions;

– operating and maintaining the information systems for trading in securities.

The Bulgarian Stock Exchange in Sofia operates according to the national legislation. As per the taxation laws in Bulgaria, capital gains from securities transactions performed on the local regulated market are not subject to withholding tax.

Listing rules for the Bulgarian Stock Exchange

The issuer of securities or a member of the Exchange authorized to represent the issuer must apply for admission to trading on the BSE Main Market (or the BEAM growth market for SMEs) for each new issue of securities. 

In order to increase the amount of an issue that is already listed, the issuer or the Exchange member authorized to represent the issuer, must sign an Annex to the listing agreement.

Foreign companies that want to list on the BSE Main Market must observe special provisions set forth in the Bulgarian Public Offering of Securities Act. 

Our Bulgarian attorneys can give you more information about the legal provisions.

Listing requirements for the Bulgarian Stock Exchange

In order to be eligible for listing and trading on the BSE Main Market, the following requirements must be observed:

– to be duly taken out of circulation or de-materialized and registered at the Central Depository;

– the transfer of issues is neither limited nor conditional;

– the issuer has no bankruptcy or liquidation proceedings initiated against it;

– the issuer complies with the requirements of the Public Offering of Securities Act.

There are additional requirements for listing on the Bulgarian ”Market of Equities” (”Market A”). Some of the requirements are: a previous period of trading of at least one year on ”Market B”, the issuer must complete at least five fiscal years and the issuer must register profits in at least three years of the last five fiscal years.

Our Bulgarian lawyers can help you with more information about the listing requirements for all the markets available on the Bulgarian Stock Exchange.

Once a company is publicly traded, there are certain benefits, opportunities and obligations. Some of the benefits include: visibility, reputation and the ability to attract new clients, as well as suppliers and employees. However, after a company is listed, it must comply with specific obligations such as financial reporting and information disclosure.

Please contact our law firm in Bulgaria for more detailed information about listing on the Stock Exchange in Bulgaria.