Vienna Bourse Starts New Bond Segment Requiring More Disclosure

Austrian stock market operator Wiener Boerse AG said it’s creating a new section for corporate bonds that requires issuers to provide greater disclosure on earnings and ratings.

About 9.5 billion euros ($12.8 billion) of new securities were sold in Vienna since 2012 and the bourse’s corporate prime segment, which opens tomorrow, includes an initial 21 bonds by nine issuers, Wiener Boerse said in an e-mailed statement.

“We want to make research easier for retail clients by providing additional information,” Birgit Kuras, a Wiener Boerse board member, said in the statement.

While there was only one initial public offering of shares in the last six years in Vienna, companies are increasingly issuing bonds to retail investors, with a record 48 new securities offered in 2012 and 2013. The insolvency of builder Alpine Holding GmbH this year, 13 months after it sold 100 million euros of securities, triggered criticism of issuers’ disclosure standards.

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