SEC Lifts Ban on General Solicitation

SEC Provides Guidance on General Solicitation Private Offerings The Securities and Exchange Commission released helpful guidance on some of the practical aspects of the new Rule 506(c) exemption for private offerings using general solicitation and advertising.  The guidance comes in the form of Questions 260.05 - 260.13 in its Questions and Answers of General Applicability and include the following: Exemption is available to an issuer who takes … Continue Reading
The Guide to Social Media and the Securities Laws REGULATION FD Beginning in 1999 and continuing into 2000, media reports about selective disclosure of material nonpublic information by issuers raised concerns that select market professionals who were privy to this information profited at the expense of others. A consensus began to emerge that selective disclosure (1) adversely affects market integrity (to a similar extent... Continue Reading
Free at Last:  General Solicitation and Advertising in Private Offerings Begins September 23 The new SEC rules lifting the ban on general solicitation and general advertising in certain private offerings go into effect today, September 23, 2013.  Beginning today, issuers in Rule 506 offerings may generally solicit investors and advertise their offerings provided they take reasonable measures to ensure that each purchaser is an accredited investor.  The new rules … Continue Reading