Texas Administrative Code
Title 7 - BANKING AND SECURITIES
Part 1 - FINANCE COMMISSION OF TEXAS
Chapter 3 - STATE BANK REGULATION
Subchapter A - SECURITIES ACTIVITIES AND SUBSIDIARIES
Section 3.5 - Financial Valuation and Advisory Services

Universal Citation: 7 TX Admin Code ยง 3.5

Current through Reg. 49, No. 38; September 20, 2024

A state-chartered bank may provide financial valuation and advisory services to its depositors or clients. The term "financial valuation and advisory services" means:

(1) the valuation of a company for purposes of acquisitions, mergers, and divestitures;

(2) fairness opinions in connection with tender offers, consolidations, or mergers;

(3) advice for management or for a bankruptcy court about the viability and capital adequacy of financially troubled companies and about the fairness of proposed bankruptcy reorganizations;

(4) valuation opinions for transactions in publicly held securities;

(5) valuations of the fair market value of employee stock ownership trusts;

(6) periodic valuation of stock of privately owned companies held in pension or profit-sharing plans, charitable trusts, or venture capital funds;

(7) valuation of a privately owned company, or of a large block of publicly owned securities;

(8) valuations, for estate tax and estate planning purposes, of a company's common stock and other securities for recapitalization of a privately held company; and

(9) expert witness testimony in support of valuations.

Disclaimer: These regulations may not be the most recent version. Texas may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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