In United States securities law, the quiet period (or waiting period) has "historically, a quiet period of time extended from the time a company files a registration statement with the SEC until SEC staff declared the registration statement effective. During that period, the federal securities laws limited what information a company and related parties can release to the public."
Under the rules of the Securities Act of 1933, as modified June 29, 2005, electronic communications, including electronic road shows and information located on or hyperlinked to an issuer's website are also governed. The rules changes of June 29, 2005 also included various changes which "liberalize permitted offering activity and communications to allow more information" for certain qualifying organizations.
In business finance, a waiting period (or quiet period) is the time in which a company making an IPO must be silent about it, so as not to inflate the value of the stock artificially. It is also called the cooling-off period.
Read more about Quiet Period: Guidelines
Famous quotes containing the words quiet and/or period:
“I teazed him with fanciful apprehensions of unhappiness. A moth having fluttered round the candle, and burnt itself, he laid hold of this little incident to admonish me; saying, with a sly look, and in a solemn but quiet tone, “That creature was its own tormentor, and I believe its name was BOSWELL.””
—James Boswell (1740–1795)
“The production of obscurity in Paris compares to the production of motor cars in Detroit in the great period of American industry.”
—Ernest Gellner (b. 1925)