Media Coverage
Source: S&P Global Market Intelligence
Media Coverage
Press Contacts: Erik Cummins, Matt Hyams, Taina Rosa, Olivia Meyer
06.12.26
The SEC has proposed sweeping reforms aimed at making public markets more attractive, including easing capital-raising rules, reducing reporting compliance burdens and disclosure requirements and permitting voluntary biannual reporting in lieu of quarterly reporting. While these changes could substantially reduce the costs and regulatory burdens associated with being a public company and facilitate increased access to the public capital markets, including for companies contemplating initial public offerings, the practical impact of certain aspects of the proposed reforms remains to be seen, given market practice and expectations and the range of factors companies consider when pursuing a public capital raising transaction.
In an interview with S&P Global Market Intelligence, Davina Kaile, the leader of Pillsbury’s Capital Markets and Public Companies practice, said the proposals could generate meaningful cost savings for newly public companies if adopted in their current form.
“I think it could be meaningful in the six-figure savings for a small reporting company if they only had to do biannual and scaled disclosure,” she said.
Kaile noted, however, that larger companies may be less inclined to fully adopt semiannual reporting, as factors such as market expectations, investor demand for information, existing contractual reporting obligations such as debt covenants, financing considerations, and the disclosure practices of industry peers are likely to influence their decisions on modifying their reporting cadence.