The Door for Companies to Raise Capital Through Direct Listings on Nasdaq Is Now Open
May 25, 2021
On May 19, 2021, the Securities and Exchange Commission (the “SEC”) approved Nasdaq’s proposed rule change permitting a company, at the time of its initial listing on the Nasdaq Global Select Market, to raise capital through direct listings (a “Primary Direct Listing”). The approved rules, which are similar to the NYSE's approved Primary Direct Listing rules (detailed in a December 2020 alert), are summarized in the following hyperlinked PDF.
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