Special Treatment for Foreign Private Issuers under NASDAQ and NYSE 20% Rules | Practical Law

Special Treatment for Foreign Private Issuers under NASDAQ and NYSE 20% Rules | Practical Law

NASDAQ and the NYSE require stockholder approval before a company can sell or potentially issue securities equaling 20% or more of the issuer's common stock or voting power.  However, both securities exchanges offer special treatment that can exempt foreign private issuers from the requirements of the 20% rules.

Special Treatment for Foreign Private Issuers under NASDAQ and NYSE 20% Rules

by Practical Law Corporate & Securities
Published on 23 Jan 2015 • USA (National/Federal)
NASDAQ and the NYSE require stockholder approval before a company can sell or potentially issue securities equaling 20% or more of the issuer's common stock or voting power. However, both securities exchanges offer special treatment that can exempt foreign private issuers from the requirements of the 20% rules.