H.R. 2864 would allow SEC reporting companies, which already meet the SEC’s ongoing disclosure requirements, to be able to take advantage of Regulation A+. The JOBS Act created a Regulation A+ offering exemption to allow small companies to raise up to $50 million online, directly from the public without a full SEC public offering. Regulation A+ offerings are publicly filed with the SEC, and allow investors and regulators a view into the company’s financial disclosures. The regulation did not allow companies that are currently reporting the SEC to take advantage of this type of offering exemption. H.R. 2864 would allow those companies to take advantage of Regulation A+ offering exemptions.
The summary below was written by the Congressional Research Service, which is a nonpartisan division of the Library of Congress, and was published on Sep 5, 2017.
(Sec. 1) This bill exempts, under Regulation A+, certain fully reporting issuers of securities from specified disclosure requirements. Under current law, Regulation A+ exempts certain smaller offerings from securities registration requirements but applies only to non-reporting issuers.