House Approves Bill to Allow Small Companies to Use Shelf Registration

The House of Representatives voted 236-178 to approve the Accelerating Access to Capital Act of 2015 (H.R. 2357). The Act permits small companies to utilize Form S-3 (the shelf registration form) to reduce legal, accounting and investment banking fees. In order to qualify for use of Form S-3, an issuer must have (i) at least $75 million of voting and non-voting common equity held by non-affiliates, or (ii) common equity listed on a national securities exchange.

The legislation was sponsored by Representative Ann Wagner (R-MO).