In early November, the House passed H.R. 1965, which had been introduced in May. The bill, sponsored by Rep. James Himes (D-CT), would amend the 1934 Securities Act so that companies would not need to register their issuance of equity securities to be traded on an exchange unless they have at least $10 million in assets. Under current law, the threshold is $1 million for some issuers. In addition, the threshold for registration would begin with 2,000 shareholders if the issuer is a bank or bank holding company, and 500 if it is neither, according to the summary presented on GovTrack.us.
“This bill helps banks help growing businesses access the capital they need to expand and create jobs while maintaining important protections for investors,” Rep. Himes said in a statement.