808 KAR 10:240. Registration exemptions - sale of business.

 

      RELATES TO: KRS 292.410(1)(q)

      STATUTORY AUTHORITY: KRS 292.410(1)(q), 292.500(3)

      NECESSITY, FUNCTION, AND CONFORMITY: KRS 292.500(3) authorizes the executive director to promulgate administrative regulations necessary to carry out the provisions of KRS Chapter 292. KRS 292.410(1)(q) authorizes the executive director to exempt from KRS 292.330 to 292.390 a transaction for which the executive director finds that registration is not necessary or appropriate in the public interest or for the protection of an investor. This administrative regulation establishes an exemption for a sale of a business that meets the specified requirements.

 

      Section 1. Pursuant to KRS 292.410(1)(q), the offer or sale of 100 percent of the ownership interest in a corporation shall be exempt from the requirements established in KRS 292.330 to 292.390 if:

      (1) 100 percent of the stock of the corporation is either offered or sold; and

      (2) The stock is sold to one (1) individual or preexisting entity. (12 Ky.R. 1806; eff. 6-10-86; Am. 24 Ky.R. 2190; 25 Ky.R. 94; eff. 6-25-98.)