US SEC Lifts Stay of Approval on OCC Capital Plan

The U.S. Securities and Exchange Commission (SEC) has lifted a stay of approval order on the Option Clearing Corporation’s (OCC) plan to raise capital.

The lift of the stay of approval is one of the last hurdles for the OCC’s plan, which has already raised $150 from the five U.S. options exchanges that it owns, according to a report from Reuters.

The OCC was determined a “systemically important financial institution” in the wake of the financial crisis, meaning it had to prove it could withstand another market turmoil through a capital plan.

“The SEC’s action permits us to further strengthen our equity capital resources so that a compelling public interest can be served,” says Craig Donohue, executive chairman, OCC. “We hope that the Commission’s review will be done in an expeditious fashion.”

“The plan will strengthen our capital base from a business perspective, enable our firm to meet the heightened capital requirements that are critical for SIFMUs like OCC, and better position us to meet international requirements.”