Facebook Turns To California Law To Skirt SEC Registration, Speed Instagram Deal
Facebook is looking to speed completion of its $1 billion deal to acquire photo-sharing application Instagram and save a little money at the same time by scheduling a "fairness hearing" with the California Department of Corporations in San Francisco Aug. 29, according to reports.
Facebook is looking to speed completion of its $1 billion deal to acquire photo-sharing application Instagram and save a little money at the same time by scheduling a “fairness hearing” with the California Department of Corporations in San Francisco Aug. 29, according to reports.
CNET reported that California is one of only six states with similar laws that allow companies to avoid the high cost and lengthy process of Securities and Exchange Commission registration, adding that while it costs a few thousand dollars to schedule a fairness hearing, SEC registration sets companies back a percentage of the value of their registered shares, and it often takes months.
Keith
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