On February 25, Securities and Exchange Commission Chair Mary Jo White addressed members of the SEC’s Advisory Committee on Small and Emerging Companies (Committee) at the opening of the Committee’s most recent meeting. As previously disclosed in the Corporate & Financial Weekly Digest edition of February 19, the Committee met to examine the capital formation landscape for small and emerging companies. In giving her remarks, Chair White provided the Committee with an update on the staff of the SEC’s (Staff’s) activities on this front, including updates to: (1) Regulation A+ and crowdfunding rules; (2) proposed changes to Rule 147 and Rule 504 of Regulation D; (3) the definition of “accredited investor;” (4) simplified disclosure for smaller issuers, including “smaller reporting companies;” and (5) recently adopted Section 4(a)(7) under the Securities Act of 1933 (a new resale exemption in many respects similar to the so-called “4(a)(1 ½)” exemption).
Chair White specifically noted that issuers have publicly filed more than 60 offering statements pursuant to Regulation A+ since its effective date in June 2015. Chair White further noted that a number of funding portals have registered with the SEC to serve as intermediaries in anticipation of the new crowdfunding rules becoming effective on May 16.
The text of Chair White’s remarks to the Committee can be read here.