Client Alert
Public Company Update: 2023 DGCL Amendments Now Effective
August 01, 2023
By Sean Donahue,Eduardo Gallardo,& Spencer Francis Young
On August 1, 2023, the Delaware legislature’s most recent amendments to the Delaware General Corporation Law became effective. The amendments include a number of changes designed to simplify pertinent matters for Delaware corporations, particularly those that are publicly traded or are seeking to go public in the future. Significant changes include: reducing the stockholder vote required by public company stockholders to approve an amendment to the certificate of incorporation to implement a reverse stock split or an increase or decrease to the number of authorized shares of a class of stock; enabling corporations to implement a forward stock split (and any necessary proportional increase in authorized stock incident thereto) without stockholder approval; and streamlining the process to ratify defective corporate acts.
Contributors
![Image: Sean Donahue](http://images.ctfassets.net/t0ydv1wnf2mi/123412_Prof_HiRes/94b75e1e9f7d1211f34e062e9cc6bf50/123412.jpg)
![Image: Eduardo Gallardo](http://images.ctfassets.net/t0ydv1wnf2mi/122652_Prof_HiRes/e9fd86b9e7620e4a8b17c21068595d5a/122652.jpg)
![Image: Spencer Francis Young](http://images.ctfassets.net/t0ydv1wnf2mi/117950_Prof_HiRes/1ea2fca5419560f7b6f7dd0eba7b2822/117950.jpg)