In April 2022, the Financial Supervisory Authority of the Central Bank of Iceland initiated an inspection of Landsbankinn’s actions in the Icelandic State Financial Investments’ public offering of the state’s 22.5% stake in Íslandsbanki in March 2022.
The inspection included Landsbankinn's role in the sales process, communications with Icelandic State Financial Investments, execution of the offering, client categorisation, recording and storing of telephone calls and other electronic communications, information on measures to prevent conflict of interest, and whether the Bank had carried out market soundings in the period leading up to the offering.
The Financial Supervisory Authority has now concluded its inspection. The Authority finds that the value assessment of financial instruments and the timing of the categorisation of four clients as professional investors did not comply with Article 54(1) of Act No. 115/2021 on Markets in Financial Instruments.
The FSA’s conclusion includes no comments on other aspects of the Bank’s actions in the offering. The Financial Supervisory Authority noted that they did not find their conclusion to give rise to any sanctions, and that Landsbankinn has already amended the deficiencies pointed out therein.
The transparency notification of the FSA’s conclusion can be found on the website of the Central Bank of Iceland.
