SEC finalizes offering reforms

Author: | Published: 1 Aug 2005

In November 2004, the US Securities and Exchange Commission (SEC) published proposed rules that would substantially change the registration, communications and offering processes under the Securities Act of 1933. The proposals were the most far-reaching set out by the SEC since the demise of its 1998 so-called Aircraft Carrier release and have far-reaching effects both for domestic and non-US issuers.

After a public comment period that ended in January 2005 and internal reworking of certain aspects of the proposed rules, the SEC unanimously adopted new rules at an open meeting on June 29. The new rules will be one of William Donaldson's long-term contributions to the US capital markets; he was able to pass the final rules just a day before he stepped down. The new rules appear to be largely consistent with the original proposals, as had been expected given the generally supportive comments submitted to the SEC....