The Securities and Exchange Commission (SEC) has approved changes to the Nasdaq Stock Market's initial listing requirements on an accelerated basis. These changes require that companies listing on the Nasdaq Global Market or Nasdaq Capital Market through an initial public offering (IPO) meet a minimum market value of publicly held shares solely with the proceeds from the offering. Additionally, companies uplisting from the U.S. over-the-counter market will also need to meet this requirement using only IPO proceeds. The purpose of these changes is to enhance liquidity and stability for newly listed securities.
Simple Explanation
The SEC made a new rule for companies that want to join a special market called Nasdaq. This rule says the companies need to have a certain amount of money from their sales to be allowed in, making it safer and steadier for people buying their shares.