SEC Stays Its Share Repurchase Disclosure Modernization Rule

On November 22, 2023, the Securities and Exchange Commission (SEC) issued an order postponing the effective date of the Share Repurchase Disclosure Modernization Rule it adopted in May 2023. That rule required issuers to:

• Disclose daily share repurchase activity quarterly or semiannually;
• Disclose whether certain directors or officers traded in the relevant securities within four business days before or after the public announcement of an issuer's repurchase plan or program;
• Provide narrative disclosure about the issuer's repurchase programs and practices in its periodic reports; and
• Provide quarterly disclosure in an issuer's periodic reports on Forms 10-K and 10-Q related to an issuer's adoption and termination of 10b5-1 trading arrangements.