Corrective registration statement

When the FSC deems the registration statement poor in form or not enough for describing the important matters, it may demand that the issuer submit a corrective registration statement presenting the reason thereon. In addition, if there is any change in the matters described in the registration statement before the opening of subscription, the issuer may file a corrective registration statement.

Also, in case of submitting a corrective registration statement, it shall be deemed that the relevant registration statement is accepted on the acceptance date of the corrective one. In case of submitting a corrective registration statement, the preliminary prospectus or the prospectus shall be corrected equally, and in this case, the corrected contents shall be informed to the Exchange.

Following are the cases where a corrective registration statement shall be submitted.

  • Changes of issuance condition, allocation date, subscription period, purpose of fund usage, or acquisition institution
  • After fixing the offering price, addition of the fixed offering price, the names of the securities companies allocated the offered stocks after participating in book building, the number of the stocks allotted to each securities company, and qualification for subscription, etc.

Filing a corrective registration statement due to the following matters shall not have any impact on effectiveness of the original registration statement concerned.

  • Details of the corrective registration statement submitted after fixing the offering price stipulated above
  • Case of changing the number of the stocks offered within the range of 20% of the number of the stocks to be offered
  • Case of utilizing the over-allotment option system or changing the volume of overallotment
Effectiveness of the registration statement

The registration statement will become effective after passing 15 days since the acceptance date of the registration statement by the FSC, and since then, the issuer shall place prospectus at the head office or branch offices of the issuer, the FSC, the Exchange, and subscription service company, make it available for the general public for inspection, and deliver the prospectus for subscribers, if any.

Once the registration statement becomes effective and placement and delivery of prospectus are completed, the issuer, seller, and their agent can begin the subscription procedures since they are allowed to approve an offer to acquire or purchase the securities offered or sold.