3 Colo. Code Regs. § 702-3-2-2-25
Current through Register Vol. 47, No. 24, December 25, 2024
Section 3 CCR 702-3-2-2-25 - Exemption from Section 10-3-120(3), C.R.S., of Sales of Securities to be AcquiredA. Whenever any person is entitled, as an incident to his ownership of an issued security and without the payment of consideration, to receive another security "when issued" or "when distributed," the security to be acquired shall be exempt from the operation of Section 10-3-120(3), C.R.S., provided that: 1. The sale is made subject to the same conditions as those attaching to the right of acquisition, and2. Such person exercises reasonable diligence to deliver such security to the purchaser promptly after his right of acquisition matures, and3. Such person reports the sale on the appropriate form for reporting transactions by persons subject to Section 10-3-120(1), C.R.S.B. This section shall not be construed as exempting transactions involving both a sale of a security "when issued" or "when distributed" and a sale of the security by virtue of which the seller expects to receive the "when issued" or "when distributed" security, if the two transactions combined result in a sale of more units than the aggregate of those owned by the seller plus those to be received by him pursuant to this right of acquisition.37 CR 20, October 25,2014, effective 11/15/201437 CR 20, October 25,2014, effective 1/1/201537 CR 23, December 10, 2014, effective 1/1/201538 CR 17, September 10, 2015, effective 10/1/201539 CR 05, March 10, 2016, effective 4/1/201639 CR 14, July 25, 2016, effective 8/15/201639 CR 23, December 10, 2016, effective 1/1/201740 CR 03, February 10, 2017, effective 3/15/201740 CR 05, March 10, 2017, effective 4/1/201740 CR 13, July 10, 2017, effective 8/1/201740 CR 17, September 10, 2017, effective 11/1/201743 CR 06, March 25, 2020, effective 4/15/202044 CR 03, February 10, 2021, effective 3/15/202144 CR 23, December 10, 2021, effective 1/1/202246 CR 03, February 10, 2023, effective 3/2/2023