The Securities Commission has granted an application by an issuer for it to cease being a reporting issuer in all Canadian jurisdictions where it held this status. The decision was made under the relevant securities legislation, specifically section 1(10)(a)(ii) of the Securities Act (Ontario). The application followed the guidelines of National Policy 11-206 for ceasing to be a reporting issuer and relied on Multilateral Instrument 11-102 Passport System for cross-jurisdictional applications.
The key considerations for the decision were that the issuer was not an OTC reporting issuer, it had fewer than 15 security holders in each Canadian jurisdiction and fewer than 51 worldwide, its securities were not traded on any public marketplace, and it was not in default of any securities legislation. Based on these representations, the principal regulator concluded that the issuer met the legislative requirements to cease being a reporting issuer and approved the application.