TheCorporateCounsel.net

The new PCAOB requirements for audits involving multiple firms come at a time of heightened tension and complexity for international business, particularly if part of the audit relates to China-based operations. Since I last blogged about the SEC’s continued angst on this topic, the HFCAA determinations have continued to roll in – with Alibaba now among the 7 “provisionally” identified companies. There are now 155 “conclusively” identified companies, up from 128 in May.

Issuers on this list may face trading prohibitions & delistings – but that will take a while to come to fruition, and there’s still time for the Chinese & US governments to strike a deal. In the meantime, though, a handful of companies have started to voluntarily excuse themselves, with this MarketWatch article identifying 4 announcements as of Friday. It won’t be surprising if more companies follow suit.

– Liz Dunshee