Erscheinung:21.06.2023, Stand:updated on 20.07.2023 | Topic Measures Defraq Ventures AG (previously: VALENS Holding AG): BaFin imposes coercive fines
On 7 June 2023, the Federal Financial Supervisory Authority BaFin imposed coercive fines in the amount of 70,625 euros on Defraq Ventures AG (previously: VALENS Holding AG). In February 2023, BaFin had ordered VALENS Holding AG (today: Defraq Ventures AG) to comply with the financial reporting requirements under the German Securities Trading Act (Wertpapierhandelsgesetz – WpHG). The company has failed to comply with this order.
The notice imposing the coercive fine is immediately enforceable but not yet final and binding.
Update (20.07.2023):
The notice is final and binding.
Background information: financial reporting requirements
Companies such as Defraq Ventures AG that are domiciled in Germany and that issue securities that are traded on an organised market in Germany must prepare annual financial information as at the end of each financial year. This information must be made publicly available no later than four months after the end of each financial year.
Under the WpHG, companies are also required to prepare a half-yearly financial report. This report must be made publicly available no later than three months after the end of the relevant reporting period.
Before publication, companies must publish an announcement informing the public and BaFin about the date from which and the website on which the information will be available.
Defraq Ventures AG contravened these requirements since it failed to publish an announcement with respect to the annual financial information for the financial year 2021. The company also failed to publish a half-yearly financial report for the financial year 2022 in addition to an announcement in respect of this.
The announcement by BaFin is also set out by law and is based on section 124 of the WpHG.
Defraq Ventures AG (previously: VALENS Holding AG): BaFin imposes coercive fines
On 7 June 2023, the Federal Financial Supervisory Authority BaFin imposed coercive fines in the amount of 70,625 euros on Defraq Ventures AG (previously: VALENS Holding AG) to enforce an order concerning compliance with the financial reporting requirements under section 114 et seq. of the Securities Trading Act (Wertpapierhandelsgesetz – WpHG).
VALENS Holding AG (today: Defraq Ventures AG) contravened the requirements under section 114 (1) sentences 2 and 3 of the WpHG with respect to the annual financial information for the financial year 2021 and under section 115 (1) sentences 1 to 4 of the WpHG with respect to the half-yearly financial report for the financial year 2022 and BaFin issued a notice on 24 February 2023 to order the company to comply with these requirements (see announcement by BaFin of 21 March 2023 ). The company did not comply with this order.
The notice is immediately enforceable but not yet final and binding.
Update (20.07.2023):
The notice is final and binding.
