SEC Still Quiet On Rule 144(i) Evergreen Requirement
March 18, 2013, 1:52 PM EDT
Law360, New York (March 18, 2013, 1:52 PM EDT) -- In 2008, the U.S. Securities and Exchange Commission made a controversial amendment to Rule 144 of the Securities Act of 1933, one of the most commonly used exemptions shareholders use to publicly sell restricted securities. One of the effects of the 2008 amendment was to complicate the process by which companies formed by way of a reverse merger are able to authorize the removal of restrictive legends from their securities.
As this article will explain, despite the strong negative reaction to the amendment in the securities...