The JOBS Act: Reforms to the Capital Raising Process

On April 2, 2012, Cravath prepared for its clients a memo entitled “The JOBS Act: Reforms to the Capital Raising Process.” The memo reviews the “Jumpstart Our Business Startups Act,” which was signed into law on April 5, 2012. The Act eases restrictions relating to the initial public offering process for entities qualifying as emerging growth companies, as well as easing restrictions on the private placement capital-raising process. It also provides emerging growth companies with ongoing relief from certain financial reporting requirements, SOX 404(b) auditing requirements and compensation disclosure requirements.

Please click here to read the memo.