Securities Offering Reform Proposal

The Securities and Exchange Commission has proposed significant changes to the registration and offering process under the Securities Act of 1933. According to the Commission, the proposed changes are intended to eliminate “unnecessary and outmoded restrictions” on registered offerings. This White Paper highlights the key provisions contained in the new rule proposals that are likely to affect the conduct of registered offerings.

It should be noted that blank check, shell and penny stock issuers, delinquent filers, companies with “going concern” opinions in the last year, issuers that have filed for bankruptcy protection in the last three years, and those that have been found to have violated the securities laws (“ineligible issuers”) will not be able to benefit from the new rule proposals.

For the full story, please view the PDF.