TORONTO, May 9, 2024
/CNW/ - The Ontario Securities Commission (OSC) today announced a
series of initiatives to support capital-raising for early-stage
Ontario businesses (Notice of
General Orders) through the OSC TestLab program. OSC TestLab uses
testing to evaluate capital market innovations and new approaches
to regulation in Ontario's capital
markets.
"New and growing businesses play an essential role in our
economy, contributing to job creation and driving productivity
gains through innovation and competition," said Grant Vingoe, Chief Executive Officer of the
OSC. "These initiatives reflect the OSC's commitment to fostering
the conditions for growth and innovation in Ontario's capital markets without compromising
investor protection, as outlined in our recently released strategic
plan."
These initiatives are time-limited and take a balanced approach
to enhancing access to early-stage capital, while maintaining
investor protections and include an extension of the Self-Certified
Investor Prospectus Exemption, dealer registration exemptions for
early-stage businesses and not-for-profit angel investor groups,
along with streamlined reporting of distributions by early-stage
businesses.
"The OSC TestLab initiatives will provide important insights as
we work to support access to finance at all stages of business
growth," said Leslie Byberg,
Executive Vice President, Strategic Regulation. "The data and
information collected will help inform future policymaking,
including promoting access to capital for early-stage businesses in
Ontario while also ensuring
investor protections."
The OSC will collect information to help evaluate these
initiatives and invite perspectives from the participating
businesses and investors and other key stakeholders in the
early-stage capital-raising ecosystem.
For details on these initiatives, please visit the Innovation
Office website at oscinnovation.ca/TestLab.
The mandate of the OSC is to provide protection to investors
from unfair, improper or fraudulent practices, to foster fair,
efficient and competitive capital markets and confidence in the
capital markets, to foster capital formation, and to contribute to
the stability of the financial system and the reduction of systemic
risk. Investors are urged to check the registration of any persons
or company offering an investment opportunity and to review the OSC
investor materials available at https://www.osc.ca.
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SOURCE Ontario Securities Commission