When a new company is seeking investors, using 140 characters isjust fine with the U.S. Securities and Exchange Commission(SEC).

Last week, the agency's staff, in a ''Compliance and DisclosureInterpretation,'' said a startup can post a Twitter message aboutits stock or debt offering to gauge interest among potentialinvestors.

"It's a brave new world. The way securities have been distributed and sold has never involved a lot of media." --Joe Wallin, Carney Badley SpellmanTheSEC announcement continues the agency's trend of warming up tosocial media, which began two years ago when it approved the use ofposts on Facebook and Twitter to communicate corporateannouncements such as earnings.

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.