The Ontario Securities Commission has published for comment amendments to the issuer rules for the Canadian Trading and Quotation System Inc.

The amendments would make companies that are reporting issuers in good standing in B.C., Alberta or Quebec eligible to be CNQ Issuers without having to become reporting issuers in Ontario, provided the company does not have a substantial connection to Ontario.

The proposed rule changes introduce a “passport” approach to quotation on CNQ. Once CNQ has had experience with the passport approach, it intends to propose extending it to other jurisdictions with substantially similar rules as Ontario.

The proposed amendments will require a company to become a reporting issuer if it has a substantial connection to Ontario, which it will have if Ontario shareholders own more than 20% of the company, or if the the majority of the board of directors, or the president or the CEO are residents of Ontario and Ontario residents own more than 10% of the firm.

The CNQ board has approved the amendments and they are now being published for public notice and comments. Comments are due within 30 days.