Private issuer - Legal lexicon
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Legal lexicon > Private issuer

Private issuer

A private issuer is a corporation that has the following features:

1) It is not an issuer subject to continuous disclosure obligations;

2) It is not an investment fund;

3) It has no more than 50 investors, with the exception of current or past employees of the issuer;

4) Most of its securities are subject to restrictions on resale or transfer, which could imply the impossibility of selling them for a determined period or even the difficulty of reselling them due to lack of market or buyers;

5) The securities are issued to individuals listed in section 2.4 of Regulation 45-106.

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