CALGARY – October 3, 2017 – The Alberta Securities Commission (ASC) today announced changes to Companion Policy 45-517 Prospectus Exemption for Start-up Businesses, effective immediately. The changes provide guidance for Alberta-based issuers seeking to raise funds from investors resident in either Alberta or British Columbia (B.C.) under ASC Rule 45-517 Prospectus Exemption for Start-up Businesses.
To facilitate small, local financings by Alberta-based start-up businesses, the ASC adopted ASC Rule 45-517 in the summer of 2016. In response to the recently announced amendments to B.C. Instrument 45-535 Start-up Crowdfunding Registration and Prospectus Exemptions, the ASC has updated its Companion Policy 45-517 to clarify how cross-border financings into B.C. are possible and outline how ASC Rule 45-517 and B.C. Instrument 45-535 work together.
“We designed our system to work with the regimes in other jurisdictions and we are pleased that British Columbia recently made amendments to facilitate cross-border financing opportunities,” said David Linder, Executive Director. “ASC Rule 45-517 is intended to provide start-up businesses with greater access to capital, while continuing to provide strong investor protection.”
A copy of the ASC Rule 45-517 Prospectus Exemption for Start-Up Businesses can be found on the ASC website at www.albertasecurities.com.
The ASC is the regulatory agency responsible for administering the province's securities laws. It is entrusted to foster a fair and efficient capital market in Alberta and to protect investors. As a member of the Canadian Securities Administrators, the ASC works to improve, coordinate and harmonize the regulation of Canada's capital markets.
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