The Securities and Exchange Commission (SEC) is proposing to require companies seeking to raise capital through public offerings to submit registration applications through an online platform, according to a report by BusinessWorld. The move is part of the agency’s broader push to digitize regulatory processes and streamline the capital-raising process.
Under a draft circular published on June 9, the SEC would mandate the use of the Online Application for Registration of Securities (OARS) system for all initial and follow-on public offerings. The proposed rule aims to reduce paperwork, shorten processing times, and enhance transparency in the registration process.
The SEC said the mandatory online filing would also facilitate easier monitoring and data management, supporting its goal of a fully digital capital market. Public comments on the proposed circular will be accepted until July 9, after which the commission may finalize the rules.