Eric Orsic, Thomas Conaghan, and Heidi J. Steele are Partners at McDermott Will & Emery LLP. This post is based on their MWE memorandum. Related research from the Program on Corporate Governance includes The Law and Economics of Equity Swap Disclosure (discussed on the Forum here) by Lucian Bebchuk; The Law and Economics of Blockholder Disclosure (discussed on the Forum here) by Lucian Bebchuk and Robert J. Jackson Jr.; and Pre-Disclosure Accumulations by Activist Investors: Evidence and Policy by Lucian Bebchuk, Alon Brav, Robert J. Jackson Jr., and Wei Jiang.
On October 10, 2023, the US Securities and Exchange Commission (SEC) adopted amendments to Sections 13(d) and 13(g) of the Securities Exchange Act of 1934, which among other things, accelerate the filing deadlines for Schedules 13D and 13G. In announcing these changes, SEC Chairman Gary Gensler stated that the old reporting requirements did not reflect the current pace of information in the modern capital markets, and the changes to the Schedule 13D and 13G reporting rules would “reduce information asymmetries.” The amendments and revised Schedule 13D deadline will become effective 90 days after publication of the amendments in the Federal Register. Compliance with the revised Schedule 13G filing deadlines will be required beginning September 30, 2024, and compliance with the structured data requirements for Schedule 13D and 13G will be required beginning December 18, 2024.
