What is the procedure for company and shareholders to lift restriction for OTCBB restricted stock?

Question

I have some OTCBB restricted stocks, anyone has any ideas on what should the company do or what should I do to lift that restriction and become free trading shares?

Answer 1

Depends on why the stock is restricted. If the restriction was placed on the stock in lieu of its registration with SEC, the company can register the stock (which will cost a lot of money in legal fees). If the stock is restricted because it was granted as a part of a long-term compensation plan, the company may lift the restriction, if its by-laws allow it. Depending on what the by-laws say, it could be done by either the Board of Directors, or by a general meeting, or cannot be done at all.