Puration Inc (PURA)

[TenKay]

The PURA dividend shares from USMJ are restricted shares under SEC Rule 144.

https://www.sec.gov/investor/pubs/rule144.htm

In a nut shell, a company cannot just issue stock as a private placement that is free trading unless it is registered stock...so it is automatically issued with a restrictive legend. The only exemption from registration that is available to PURA stock is Rule 144 that allows a stock to become free trading after a holding period. The length of the holding period is 6 months for SEC registrants and 12 months for non-registrants. PURA is not an SEC registrant hence the 12 month holding period requirement.

At the end of the holding period a request can be made to the company to lift the restriction and the shareholder will have to obtain an opinion letter from a lawyer that the TA will need to remove the restrictive legend. Your broker can probably handle this for you...for a fee of course.

When those conditions are met the stock can be freely traded in the market.

This has been discussed on the board quite a bit.