UK FCA AIM Company Insider

On December 14, UK FCA fined company for disclosing inside information.

  • Tejoori self-managed closed-ended investment company, shares on AIM 2006-17.
  • First fine FCA imposed on AIM company for late disclosure after MAR in July 2016.
  • Did not inform the market of inside information as required by MAR Article 17(1).

Alleged Violations

  • 2016, firm had investment shareholding in BEKON, valued by Tejoori at $3.35mn.
  • BEKON notified Tejoori of a compulsory share acquisition by Eggersmann Gruppe.
  • Acquisition required Tejoori to sign SPA and sell its BEKON shares to Eggersmann.
  • Sale had no initial consideration, only possibility to get a deferred consideration.
  • Deferred consideration materially lower than value of Tejoori BEKON investment.
  • Tejoori did not meet condition to disclose inside information as soon as possible.
  • Tejoori’s BEKON shares were ultimately transferred to Eggersmann in August 2016.
  • BEKON and Eggersmann issued press releases, to announce acquisition next day.
  • Press release made no reference to Tejoori, so market unaware of trading terms.
  • Without details, market speculated in bulletin boards on amount paid to Tejoori.
  • Market regarded sale as positive development to Tejoori, price rose 38% in days.
  • Tejoori issued announcement on its sale of BEKON, share price closed 13% down.


  • Firm settled early to get 30% discount, otherwise penalty would have been £100k.