Public Offerings: CVM 160
Legal coordination of public offerings and definition of the applicable distribution regime.
CVM Resolution 160 governs public offerings for the primary and secondary distribution of securities. The applicable procedure depends on the characteristics of the issuance, the issuer, the instrument and the target audience. Automatic registration does not mean a general waiver of rules, documents or responsibilities. The preparation of the offering must also consider subsequent trading restrictions and the consistency of the information presented to investors throughout the distribution.
Legal work involves the documentation of the issuance, the distribution contracts and the review of informational and advertising materials. The division of responsibilities among the issuer, the offeror and the intermediaries must follow the duties set out in the regulations. Risk factors, offering conditions and any material changes require coordinated treatment. The work also covers the analysis of market soundings and communications before, during and after the offering, in accordance with the procedure adopted and the rules applicable to each participant.
Our work
- Definition of the procedure and target audience of the offering
- Issuance documents and distribution contracts
- Legal review of disclosure and subsequent obligations
Does automatic registration mean the CVM has approved the investment?
No. Registration does not represent an investment recommendation nor a guarantee of the quality of the issuer or the security. The automatic procedure also preserves the responsibilities of the participants.
Editorial review: