Bold code in the Registration Rights Agreement

Aug 6th, 2022
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Investors can exercise their S-3 (or F-3 for foreign issuers) registration rights to demand that a company that is already a publicly traded company register the investors shares with the Securities Exchange Commission.
Key Takeaways. SEC Form S-3 is a regulatory filing that provides simplified reporting for issuers of registered securities. An S-3 filing is utilized when a company wishes to raise capital, usually as a secondary offering after an initial public offering has already occurred. SEC Form S-3: Definition, Parts, When to Use It, and How to File Investopedia terms s sec-form-s-3 Investopedia terms s sec-form-s-3
Form S-3 allows incorporation by reference of certain required information about the company from documents filed by the company with the SEC under the Securities Act or the Exchange Act, including future filings. Form S-3 | Practical Law - Westlaw westlaw.com document Form-S-3 westlaw.com document Form-S-3
If the seller complies with Rule 144, the sale will not violate the registration requirements of the Securities Act. Rule 144 imposes certain holding period, informational, volume, manner of sale and notice obligations in certain situations and for certain stockholders.
(a) A registration statement shall consist of the facing sheet of the applicable form; a prospectus containing the information called for by Part I of such form; the information, list of exhibits, undertakings and signatures required to be set forth in Part II of such form; financial statements and schedules; exhibits;
Form S-1 long form typically used for IPOs and sometimes for other primary and secondary sales of securities. Form S-3 short form typically used for follow-on offerings and public resales of a companys securities by selling shareholders, and available only if eligibility requirements are met. Chapter 12: Follow-On Offerings and Shelf Registrations Perkins Coie LLP pch-chapter-12 Perkins Coie LLP pch-chapter-12
There are two types of registration rights: demand and piggyback. Demand registration rights enable the stockholder to require the issuer to register all or a portion of its shares. key considerations in drafting a registration rights agreement from friedfrank.com siteFiles Publications friedfrank.com siteFiles Publications
Registration rights typically contain clauses that establish the terms of registration. Among these details is the lock-up period during which investors are prohibited from selling their shares in a company after it has gone public. Typically, this is limited to 180 days.

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