TEL AVIV Dec 11 The Israel Securities Authority
(ISA) is looking to create a new track for smaller companies to
raise money, similar to the "Regulation A" programme in the
ISA Chairman Shmuel Hauser said on Sunday there is a
"financing vacuum" in Israel in which regulation does not do
enough to help small to medium-sized business.
"We are examining the creation of a path with more lenient
regulation that suits this range - similar to the U.S. Reg A,"
Hauser said during a speech at the Globes business conference in
"Doing this will allow a fresh way of thinking, and a
release from the conventional shackles that are not necessarily
suited for small and medium sized businesses," he said, without
The ISA, together with executives at the Tel Aviv Stock
Exchange, have been looking for new tools to help battle a drop
in trading volume and company listings.
Hauser has partly blamed the bourse's woes on an
anti-business environment in Israel as well as hefty regulations
that his agency is in the process of easing.
The U.S. Security and Exchange Commission says the benefit
of "Regulation A" is that it allows companies to offer and sell
securities to the public, but with more limited disclosure
requirements than what you would currently expect from publicly
In comparison to registered offerings, it says, smaller
companies in earlier stages of development may be able to use
this rule to more cost-effectively raise money.
(Reporting by Ari Rabinovitch and Steven Scheer; Editing by