Companies Raising Capital Now Have a Smaller Pool of Investors to Choose From
As mandated by the Dodd-Frank Wall Street Reform and Consumer Protection Act, the SEC recently amended the net worth standard for accredited investors, which will limit the ability of certain investors to participate in private offerings. As a result, companies raising money in private placements to accredited investors may find their investment pools have been reduced. This Client Advisory discusses the SEC's amended rules and their potential impact on investors and companies contemplating a private offering.
View Client Advisory (PDF)