The Agreement stipulates that Arion shall submit , on every trading day, bids and offers to buy and sell JBTM’s shares in the trading system of Nasdaq Iceland. Each bid and offer must be for a minimum of 1,500 shares at nominal value in JBTM at a price determined by Arion. The bid-ask spread shall be determined with reference to the tick size table of main market of Nasdaq Iceland as current at any given time, so that the spread will be as close as possible to 1.50%, but never less than 1.45%. However, Arion shall be permitted to submit bids and asks with a lower spread than stated above, as specified in the Agreement.
If Arion is to trade, on the same trading day, in shares of JBTM held in the trading book of Arion for a total of ISK 100,000,000 at market value, Arion’s obligation concerning the (i) maximum bid-ask spread or, if Arion prefers, (ii) Arion’s obligation to submit bids and asks, shall not apply for such trading day.
If the price change of JBTM’s shares within a single trading day exceeds 5%, Arion is permitted to increase the maximum spread to 3.0% and if the price change per share exceeds 10%, Arion is permitted to increase the maximum spread to 4.5%.
The Agreement otherwise takes into account EU Regulation 2017/578 of the European Commission of 13 June 2016 on regulatory technical standards regarding requirements for market making agreements and schemes as provided for in Article 12 of Article 48 of Directive 2014/65/EU of the European Parliament and of the Council on markets in financial instruments which are legally valid in Iceland pursuant to the provisions of Act No. 115/2021 of the Market in Financial Instruments Act.
The Agreement came into force on January 1, 2025, and terminates on December 31, 2027. Both parties may terminate the Agreement at any time with 14 days’ notice or by special agreement.