ater this week, the Subcommittee on Capital Markets, part of the House Financial Services Committee, will hold a hearing titled U.S. Public Markets Built for the 21st Century: Exploring Reforms to Make Our Public Markets Attractive for Small and Emerging Companies Raising Capital.
As the title implies, the hearing will address the dramatic decline in public firms as more companies strive to remain private for as long as possible due to the ongoing rule-upon-regulation strategy policymakers have incorporated for years, Crowdfund Insider reports. As one should have anticipated, the onslaught of excessive regulation has compelled firms to remain private as the cost to become a public firm has risen dramatically. While recently, IPOs did increase; this was due to the hot SPAC [special purpose acquisition companies] market that is now in retreat – partially due to additional rules. Read more.
