DEFINITION of SEC Form F-6
SEC Form F-6 is required by the Securities and Exchange Commission (SEC) for registering certain securities of a foreign firm. It's used to register shares represented by American Depositary Receipts (ADRs) issued by a depositary against the deposit of the securities of a foreign issuer. In short, the form lists shares of foreign securities on a US exchange. However, price and liquidity deviate from the ADR's foreign counterpart since they trade on two different exchanges. Form F-6 is issued in accordance with the Securities Act of 1933.
BREAKING DOWN SEC Form F-6
SEC Form F-6 is also known as the Registration Statement under the Securities Act of 1933 for depositary shares evidenced by American Depositary Receipts. This act, often referred to as the "truth in securities" law, requires these registration forms, detailing essential facts, are filed to disclose important information upon registration of a company's securities. This helps the SEC achieve the objectives of the act, requiring investors to receive significant information regarding securities offered and prohibiting fraud in the sale of the offered securities. Firms must file the Form F-6 registration statement in electronic format through the SEC's Electronic Data Gathering, Analysis and Retrieval (EDGAR) system. That way investors, regulators and any interested party can access the information at a moment's notice.
Eligibility Requirements for SEC Form F-6
Several conditions must be met for Form F-6 to be used for registration. The holder of the ADR is entitled to withdraw the deposited securities at any time following temporary delays for many reasons or the payment of dividends. Other reasons this could happen include the payment of fees, taxes, and similar charges and compliance with any laws or regulations related to the depository. Using Form F-6 also requires the deposited securities to be offered or sold in transactions registered under the Securities Act of 1933.
Registering of deposited securities is available only through Form F-6. When necessary, the registration of the deposited securities will need to be completed on other relevant forms.
Form F-6 requires registrants to provide pertinent information including the exact name of the issuer, translation of the issuer's name into English, place of incorporation, exact name of the depository, and addresses of offices. And since nothing in life is free, there is a fee attached to the registration form. The payment takes into account various factors include the amount to be registered, proposed maximum offering price, and proposed maximum price per unit. In addition to the registration fee, there is a filing fee.