Regulatory Alerts2023-06-22
SEC MC No. 08, Series of 2023 — Securing & Expanding Capital for Farms & Agri-Business Related Modernization Schemes (SEC FARMS)
The Securities and Exchange Commission issued Memorandum Circular No. 08, Series of 2023 to establish the SEC FARMS registration form for agri-business corporations seeking to raise capital through securities offerings. This framework allows issuers to register up to five hundred million pesos per project with a shortened twenty-eight-day review period and permits the use of Group B external auditors for the first five years. The guidelines impose strict conditions including a fifty percent equity requirement, mandatory project progress reporting, and shareholder guarantees to cover funding shortfalls.
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