Clearstream Banking handling of currently eligible cannabis related securities
Note: This announcement originally published on 22 June 2018 has been updated to clarify that German domestic securities where the main business is connected directly or indirectly to cannabis or other narcotics products are still eligible.
Clearstream Banking1 informs customers that effective
close of business on 28 September 2018
it will no longer be possible to settle and safekeep securities in Clearstream Banking where the main business is connected directly or indirectly to cannabis and other narcotics products.
This follows the announcement that Clearstream Banking AG’s custodian, Clearstream Banking S.A. can no longer service these securities because of legal reasons.
German domestic securities will continue to be serviced by Clearstream Banking AG until further notice.
Clearstream Banking has identified a number of securities that would be affected by the settlement restrictions (attached below).
This list of impacted securities is not exhaustive. If Clearstream Banking identifies other securities meeting the criteria it will inform customers accordingly with the respective date of termination of services.
Clearstream Banking will only offer processing of receipt free of payment and against payment instructions from the local market until close of business on settlement date 29 June 2018. The Bridge will be closed from this date.
Clearstream Banking will continue to offer the following services until close of business on settlement date 28 September 2018 for OTC and stock exchange transactions:
- Processing of free of payment and against payment internal instructions (within Clearstream Banking);
- Processing of free of payment and against payment delivery instructions towards the local market.
Customers are therefore asked to use the transition period to move their positions in the respective securities out of Clearstream Banking before the 28 September 2018 deadline.
For further information, customers may contact Clearstream Banking Client Services or their Relationship Officer.
1. This Announcement is published by Clearstream Banking AG (CBF), registered office at Mergenthaleralle 61, 65760 Eschborn, Germany, registered with the Commercial Register of the District Court in Frankfurt am Main, Germany, under number HRB 7500.