At the end of July, the SEC Division of Corporation Finance issued two interpretations (known as CDIs) on notices of exempt solicitations. These are the filings that may suddenly show up on a company’s Edgar page, confusingly called “PX14A6G.” For example, after filing its proxy statement in April, Facebook received four such notices from different investors. Three urged the company’s shareholders to support their shareholder proposals while one asked shareholders to withhold on the election of the company’s CEO to the board.
Notices of exempt solicitations have been around for some time, but during this season, the notices submitted by retail investors begin to attract attention. Continue Reading