Status: Please note you should read all Brexit changes to the FCA Handbook and BTS alongside the main FCA transitional directions. Where these directions apply the 'standstill', firms have the choice between complying with the pre-IP completion day rules, or the post-IP completion day rules. To see a full list of Handbook modules affected, please see Annex B to the main FCA transitional directions.

LR 6.4 Independent business

LR 6.4.1RRP

1An applicant must demonstrate that it carries on an independent business as its main activity.

LR 6.4.2GRP

1LR 6.4.1R is intended to ensure that the protections afforded to holders of equity shares by the premium listing requirements are meaningful.

LR 6.4.3GRP

1Factors that may indicate that an applicant does not satisfy LR 6.4.1R include situations where:

  1. (1)

    a majority of the revenue generated by the applicant’s business is attributable to business conducted directly or indirectly with one person or group;

  2. (2)

    or the applicant cannot demonstrate that it has access to financing other than from one person or group; or

  3. (3)

    the applicant does not have:

    1. (a)

      strategic control over the commercialisation of its products; or

    2. (b)

      strategic control over its ability to earn revenue; or

    3. (c)

      freedom to implement its business strategy.