The Securities and Exchange Commission has adopted final rules to allow reporting companies to use the Regulation A exemption from registration for their securities offerings.
Regulation A provides an exemption from registration under the Securities Act of 1933 for offerings of securities up to $50 million in a 12-month period. Currently, Regulation A is not available to companies that are Exchange Act reporting companies. The final rules, announced on Dec. 19, also revise Securities Act rules so that companies meeting the reporting requirements of the Exchange Act will be deemed to have also met the reporting requirements of Regulation A.
