LR 8.7 Supervision of sponsors

1. (1)

   5The FCA may by notice in writing given to a sponsor, or a person applying for approval as a sponsor, require it to provide specified documents or specified information to the FCA.

2. (2)

   The sponsor, or the person applying for approval as a sponsor, must as soon as practicable provide to the FCA any documents or information that it has been required to provide under (1).

3. (3)

   This rule applies only to documents or information reasonably required by the FCA in connection with the performance of its functions in relation to a sponsor, a person applying for approval as a sponsor or a company that has appointed a sponsor.

10The FCA may impose restrictions or limitations on the services a sponsor can provide at any time following the grant of a sponsor's approval.

A sponsor must pay the annual fee set out in 1FEES 41 in order to remain on the list of sponsors.

A sponsor must provide to the FCA on or after the first business day of January in each year but no later than the last business day of January in each year:7

1. (1)

   written confirmation that it continues to satisfy the criteria for approval as a sponsor as set out in LR 8.6.5 R; and5

2. (1A)

   for each of the criteria in that rule, evidence8 of the basis upon which it considers that it meets that criterion8.5

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3. (2)

   [deleted]5

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4. (3)

   [deleted]5

   5
5. (4)

   [deleted]5

   5

7Written confirmation must be provided by submitting a completed Sponsor Annual Notification Form to the FCA at the FCA's address.

[Note: The Sponsor Annual Notification Form can be found on the UKLA section of the FCA's website.]

A sponsor must notify the FCA in writing as soon as possible if:

1. (1) 8
   1. (a)

      8the sponsor ceases to satisfy the criteria for approval as a sponsor set out in LR 8.6.5 R or becomes aware of any matter which, in its reasonable opinion, would be relevant to the FCA in considering whether the sponsor continues to comply with LR 8.6.6 R; or

   2. (b)

      8the sponsor becomes aware of any fact or circumstance relating to the sponsor or any of its employees engaged in the provision of sponsor services by the sponsor which, in its reasonable opinion, would be likely to adversely affect market confidence in the sponsor9 regime; or

2. (2)

   the sponsor, or any of its employees engaged in the provision of sponsor services by the sponsor8,5 are:

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   1. (a)

      convicted of any offence involving fraud, theft or other dishonesty; or

   2. (b)

      the subject of a bankruptcy proceeding, a receiving order or an administration order; or

3. (3)

   any of its employees engaged in the provision of8 sponsor services5 by the sponsor8 are disqualified by a court from acting as a director of a company or from acting in a management capacity or conducting the affairs of any company; or

   5
4. (4)

   the sponsor, or any of its employees engaged in the provision of8 sponsor services by the sponsor8,5 are subject to any public criticism, regulatory intervention or disciplinary action:

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   1. (a)

      by the FCA; or

   2. (b)

      by any designated professional body; or

   3. (c)

      by any body that is comparable to the FCA or a designated professional body; or

   4. (d)

      under any comparable legislation in any jurisdiction outside the United Kingdom; or

5. (5)

   the sponsor resigns or is dismissed by a listed company or applicant, giving details of any relevant facts or circumstances;

6. (6)

   the sponsor changes its name; or

7. (7)

   [deleted]5

   5
8. (8)

   a listed company or applicant denies the sponsor access to documents or information that have been the subject of a reasonable request by the sponsor; or

9. (9)

   5it identifies or otherwise becomes aware of any material deficiency in the sponsor's systems and controls8; or2

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10. (10)

    there is intended to be a change of control of the sponsor, any restructuring of the sponsor's group, or a re-organisation of or a substantial change to the directors, partners or employees engaged in the provision of sponsor services by the sponsor, or8

    8
11. (11)

    there is expected to be a change in the financial position of the sponsor or any of its group companies that would be likely to adversely affect the sponsor's ability to perform sponsor services or otherwise comply with LR 8.8

8Where a sponsor is of the opinion that notwithstanding the circumstances giving rise to a notification obligation under LR 8.7.8 R, it continues to satisfy the ongoing criteria for approval as a sponsor in accordance with LR 8.6.6 R, it must include in its notification to the FCA a statement to that effect and the basis for its opinion.

A sponsor must5 not delegate any of its functions as such, or permit another person to perform those functions, unless that 115 person 11is 511on the list of sponsors.11

1. (1)

   A sponsor that delegates any of its functions or permits another sponsor to perform its functions5 is not relieved of its obligations under the listing rules.11

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2. (2)

   A sponsor that performs any function on behalf of 5another sponsor must comply with the requirements set out in LR 8.3.11

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A sponsor must notify the FCA in writing as soon as practicable before another sponsor performs functions on its behalf 5of:

1. (1)

   the identity of that sponsor;5 and

   5
2. (2)

   a detailed description of the functions that the sponsor is to perform on its behalf.5

   511

A request by a sponsor for its approval as a sponsor to be cancelled must be in writing and must include:

1. (1)

   the sponsor's name;

2. (2)

   a clear explanation of the background and reasons for the request;

3. (3)

   the date on which the sponsor requests the cancellation to take effect;

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4. (4)

   a signed confirmation that the sponsor will not provide any sponsor services8 as of the date the request is submitted to the FCA; and

   8
5. (5)

   the name and contact details of the person at the sponsor with whom the FCA should liaise with in relation to the request.

10A request by a sponsor for its approval as a sponsor to be suspended must be in writing and must include:

1. (1)

   the sponsor's name;

2. (2)

   a clear explanation of the background and reasons for the request;

3. (3)

   the date on which the sponsor requests the suspension to take effect;

4. (4)

   a signed confirmation that the sponsor will not provide any sponsor services as of the date the request is submitted to the FCA; and

5. (5)

   the name and contact details of the person at the sponsor with whom the FCA should liaise with in relation to the request.