SEC will re-propose foreign deregistration rules
11 Dec 2006
At its meeting on 13 December 2006, the US Securities and Exchange Commission will consider a staff recommendation to re-propose new rules governing when a foreign private issuer may deregister its securities under the Securities Exchange Act of 1934 and cease making filings with the Commission.
The staff intends to recommend deregistration thresholds based solely on trading volume. The original proposal (December 2005) had used thresholds based primarily on the percentage of US holders, as well as trading volume. Based on comments received, the Commission believes that thresholds based on trading volume are easier to implement. Staff will recommend a 30-day comment period for the re-proposed rules and expects to recommend final rules in the first quarter of 2007. Click for SEC Press Release (PDF 32k).
