The Securities Commission has granted an application by an issuer for an order to cease being a reporting issuer under applicable securities laws. The issuer, which is not named in the summary provided, is not an OTC reporting issuer and its securities are owned by fewer than 15 securityholders in each jurisdiction in Canada and fewer than 51 worldwide. Additionally, no securities of the issuer are traded on any market in Canada or elsewhere, and the issuer is not in default of any securities legislation except for the non-filing of certain continuous disclosure documents.
The decision was made under the authority of the Securities Act, R.S.O. 1990, c. S.5, as amended, specifically section 1(10)(a)(ii). The issuer had not filed its annual financial statements and related management’s discussion and analysis for the year ended December 31, 2021, nor its interim financial statements for the period ended March 31, 2022, as required under National Instrument 51-102 – Continuous Disclosure Obligations and the certifications required under National Instrument 52-109.
Despite the default due to the non-filing of these documents, the issuer would have been eligible for the simplified procedure under National Policy 11-206 Process for Cease to be a Reporting Issuer Applications if not for the default. The Commission’s decision to grant the order was based on the test set out in the relevant legislation, and the order reflects the decision of the securities regulatory authority or regulator in Ontario as well.