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Conflict Minerals Disclosures Due June 1, 2021 | Skadden, Arps, Slate, Meagher & Flom LLP

The Distributed Ledger: Blockchain, Digital Assets and Smart Contracts - April 2021 | Skadden, Arps, Slate, Meagher & Flom LLP

The Distributed Ledger: Blockchain, Digital Assets and Smart Contracts - April 2021 | Skadden, Arps, Slate, Meagher & Flom LLP
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Recent Developments Highlight SPAC Securities And Shareholder Litigation Risks | Vinson & Elkins LLP

To embed, copy and paste the code into your website or blog: As the wave of SPAC IPOs and de-SPAC transactions continues to build, so too has the scrutiny of these transactions from the SEC and the shareholder plaintiff’s bar. On April 8, 2021, the SEC gave its clearest warning yet among a series of recent signals that it plans to intensify its review of de-SPAC transactions. Most recently, the SEC raised the possibility that statements in a de-SPAC transaction proxy statement fall within the IPO exclusion to the Private Securities Litigation Reform Act (“PSLRA”) safe harbor for forward-looking statements. Meanwhile, a SPAC shareholder recently filed suit in the Delaware Court of Chancery alleging that the SPAC’s board and sponsors breached their fiduciary duties in approving a de-SPAC transaction, and argued that the claims should be reviewed under Delaware’s demanding entire-fairness standard due to conflicts posed by the board’s and sponsors’ receipt of founder shar

SEC official warns of SPAC risks

SEC official warns of SPAC risks Bloomberg Creating SPACs and taking them public is not a free pass to avoid federal securities laws, SEC Division of Corporation Finance Acting Director John Coates said. His statement Thursday on SPACs and liability risks related to IPOs was prompted by what he said was an unprecedented surge in special purpose acquisition companies. Concerns include risks from fees, conflicts and sponsor compensation, from celebrity sponsorship and the potential for retail participation drawn by baseless hype, and the sheer amount of capital pouring into the SPACs, Mr. Coates said. SEC officials will be looking closely at SPAC filings and asking for clearer disclosure, he added. They are also considering next steps, including rule-making to recalibrate the applicable definitions, and guidance on how safe harbors apply, if at all.

Updates from the SEC s Acting Director of the Division of Corporation Finance | Mayer Brown Free Writings + Perspectives

To embed, copy and paste the code into your website or blog: SEC Division of Corporation Finance Acting Director John Coates participated in a fireside chat on April 7, 2021 during the annual Global Capital Markets & the US Securities Laws program hosted by the Practicing Law Institute (PLI). Acting Director Coates, when asked about his priorities at the SEC, mentioned three items: the “unprecedented surge” in special purpose acquisition company (SPAC) filings, reporting company ESG disclosures (including disclosure of climate change and potentially political spending), and improvement of the proxy voting system (commonly referred to as “proxy plumbing”). With respect to ESG issues on a global scale, Acting Director Coates provided insight into the International Organization of Securities Commissions’ recent statement announcing the creation of a Technical Expert Group co-led by the SEC to undertake an assessment of the recommendations to be developed as part of the IFRS

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