How will the adoption of Regulation A+ affect EB-5 offerings? - EB5Investors.com

How will the adoption of Regulation A+ affect EB-5 offerings?

Since the SEC announced the adoption of Regulation A+ on Wednesday, some people have asked if EB-5 offerings can also be offered under Reg A+. Is this correct? If so, is it safe to say that, compared to 506(c), Reg A+ offerings are far too financially onerous and time consuming to become commonplace in EB-5?

Answers

Shahzad Q Qadri

Shahzad Q Qadri

RC Creators
Answered on

Adoption of Regulation A+ and its impact is yet to be seen; it is too early to predict how it will affect the EB-5 industry. However, at first glance, your assessment is correct that it may prove to be too onerous for it to be utilized by the EB-5 industry.

Robert V Cornish Jr

Robert V Cornish Jr

Securities Attorneys
Answered on

I do not believe that Reg A+ will have much effect on EB-5 given the size of EB-5 individual investments. Any reasonable project will be using Regulation D.

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