US DEVELOPMENTS -
SEC and NYSE/Nasdaq Developments -
FAST Act Amends JOBS Act and Creates New Exemption for Resales of Restricted Securities -
On 4 December 2015, the Fixing America’s Surface Transportation Act, or FAST Act, was signed into law. The FAST Act includes a number of provisions affecting US securities law, including changes to the Jumpstart Our Business Startups Act (“JOBS Act”), changes to US Securities and Exchange Commission (“SEC”) disclosure requirements and a new statutory exemption for private resales of securities.
The FAST Act relaxes certain provisions of the JOBS Act to facilitate initial public offerings by emerging growth companies (“EGCs”). EGCs can now commence roadshows within 15 calendar days of publicly filing the registration statement with the SEC, as opposed to the previous 21-calendar day waiting period, and can rely on continued treatment as an EGC for certain purposes during a grace period if they lose EGC status during the SEC review process. Further, EGCs can start the SEC review process without having to include financial information for periods that will not be required to be included at the time the IPO is expected to go on the road.
Please see full publication below for more information.
