“There are forms to be submitted to FINRA prior to approval for a name change and cusip #. Because FRFS has no current financial statements, that will complicate the process. GIFA,Inc., as the new entity will have to provide some financial information, prior to being allowed to trade as GIFA,Inc.”
This is incorrect. FINRA is a regulatory body and does not approve financials nor review them in the manner you are suggesting. The Securities Exchange Commission (SEC) has FINRA in place to regulate the OTCMarkets and if fraud occurs they are the ones who get the SEC approval to close down shop. FINRA could care less if a company stays at a Stop Sign or upticks to Current/Alternative Reporting Status after a new cusip, name change, or ticker symbol change occurs. On the OTCMarkets, FINRA steps in if signs of fraud are occurring in a company’s press releases, financial statements, and/or disclosure statements. If fraud is suspected FINRA will step in with a inquiry submittal to the suspected company, and if they don’t receive any communication or information that they are requesting within a 21 day period then they will indeed get SEC approval to halt ticker.
Obtaining a new cusip requires the DTC with a cost of $1k, and requires an opinion letter for processing. This doesn’t include any of the Transfer Agents fees. A new ticker and name change is what is approved by FINRA with a cost of $1k, including a $700 fee for FINRA to process if the paperwork is submitted correctly. Financials are not apart of the submittal process for a name change, and/or ticker symbol change, but state filings, board minutes, resolutions, majority vote, and all corporate actions documentation is submitted for the process.
Financials are submitted by public company’s to both the OTCMarkets or the SEC. OTCMarkets process financials as high as a current/alternative reporting status requiring opinion letter, informational disclosure statements, and unaudited financials. Anything higher is considered fully reporting, and must be approved by the SEC requiring informational disclosure statements, multiple forms, and fully audited financials.
“FINRA does as they usually do (take DOLV as an example), it could be months before anyone here knows exactly what the new company will be.”
New cusip, name change and ticker symbol change could take less than 45 days if all paperwork is submitted correctly and if not the DTC and FINRA will clearly state what they need in order to complete the process. Depending on how disorganized a company is or their capability in submitting the required forms the process could indeed end up taking longer.
AI
