1.For the purposes of scrutinising the comprehensibility of the information in a draft prospectus, competent authorities shall consider all of the following:
whether the draft prospectus has a clear and detailed table of contents;
whether the draft prospectus is free from unnecessary reiterations;
whether related information is grouped together;
whether the draft prospectus uses an easily readable font size;
whether the draft prospectus has a structure that enables investors to understand its contents;
whether the draft prospectus defines the components of mathematical formulas and, where applicable, clearly describes the product structure;
whether the draft prospectus is written in plain language;
whether the draft prospectus clearly describes the nature of the issuer’s operations and its principal activities;
whether the draft prospectus explains trade or industry specific terminology.
However, competent authorities shall not be required to consider points (g), (h) and (i) where a draft prospectus is to be used exclusively for the purposes of admission to trading on a regulated market of non-equity securities for which a summary is not required by Article 7 of Regulation (EU) 2017/1129.
2.For the purposes of the first paragraph, competent authorities may, on a case-by-case basis and in addition to the information referred to in Article 7 of Regulation (EU) 2017/1129 and Article 33 of this Regulation, require that certain information provided in the draft prospectus be included in the summary.