The Deal Room is now open for investors to offer expressions of interest regarding pre-screened investment opportunities that are pending an election of a registration exemption under the Securities Act of 1933, as amended.
The Deal Room represents the outflow of the “new” Rule 241 enacted by the Securities & Exchange Commission last month that has the power to change everything for small and medium-sized issuers and commercial real estate developers seeking capital financing.
The Power Unleashed – Rule 241
Among other things, the Rule 241 provisions provide the opportunity for issuers (and their authorized representatives) to undertake a pre-offering solicitation of investor interest for the purposes of determining the size of their offering, type of security to be offered and changes the issuer may wish to enact BEFORE filing their offering memorandum and entering the capital markets (subject to strict rules and requirements). This is definitely a game-changer. If you have questions or wish to have your transaction screened and made available, please contact our offices.