SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Non-Tech : London Pacific Group - LPGL doubles...
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Ray Dopkins who wrote (165)4/16/1999 12:18:00 AM
From: DwcOkla   of 737
 
Here's some more info Mr. Maven (Buffet)

LEVEL II:
Full SEC registration - GAAP reconciliation of Accounts- listing on Exchange - no capital issue.
A sponsored Level II ADR must comply with the SEC's full registration and reporting requirements. In addition to filing Form F-6 registration statement, the issuer is also required to file SEC Form 20-F and to comply with the SEC's other disclosure rules, including submission of its annual report which must be prepared in accordance with US GAAP. Registration allows the issuer to list its ADRs on one of the three major national stock exchanges.

Level II sponsored programs are initiated by non-US companies to give US investors access to their stock in the US. As with a Level I program, a Deposit Agreement is signed between the issuer and a depositary bank. The agreement defines the responsibilities of the depositary, which usually include responding to investor inquiries, mailing annual reports and other important material to shareholders as well as maintaining shareholder records.

Issuer Advantages of a Level II Program:
More attractive to US investors than a Level I program because the ADRs are fully registered with the SEC and may therefore be listed on one of the major US exchanges. This raises the profile of the ADR program to investors, thus increasing the liquidity and marketability of the securities.
Listing and registration also enhance the issuer's name recognition in the US.
SEC disclosure regulations enable the issuer to monitor the ownership of its shares in the US.
ADRs at Level II may be used to fund ESOP and management compensation and bonus plans and as an acquisition currency.
Issuer Disadvantages of a Level II Program:
More detailed SEC disclosure is required than for a Level I program. For example, the issuer's financial statements must conform to US GAAP, or a detailed summary of the differences in financial reporting between the home country and the US must be submitted.
SEC regulations do not permit a public offering of ADRs under a Level II program.
It is more expensive and time-consuming to set up and maintain a Level II program than a Level I program because of the more stringent reporting requirements and higher legal, accounting and listing costs.

--------------------------------------------------------------------------------

Table of Contents | Internationalisation | A Perspective
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News