SEC Proposes Amendments To Implement JOBS Act Mandate

On December 18, 2014, the Securities and Exchange Commission ("SEC") approved the issuance of proposed amendments intended to revise the rules under Section 12(g) of the Exchange Act which were mandated by the Jumpstart Our Business Startups Act ("JOBS Act"). The JOBS Act revised Exchange Act Section 12(g) to raise the threshold at which an issuer is required to register a class of equity securities. In addition, the JOBS Act raised the threshold at which a bank or a bank holding company may terminate or suspend the registration of a class of securities under the Exchange Act from 300 to 1,200 persons. The proposal would establish the mandate of the JOBS Act by amending and revising rules which govern the procedures relating to registration, termination of registration and suspension of reporting obligations to reflect the new thresholds established by the JOBS Act. Public comments are due 60 days after the proposed rule is published in the Federal Register.