Own <10% of outstanding shares of a security after activities on secondary market during the 3-calendar-months term.
Example
John Doe owns 12% of Steel Factory, LLC and, has the Affiliate status. After a new Offering that closes on the 15th of June 2018, John has his holdings reduced to 9% because he did not participate and purchase new shares of Steel Factory, LLC. John Doe will lose the Affiliate status on 15th of September 2018. John can lose his affiliate status over time as well by gradually selling his stake (each trade of 1% of the outstanding shares).
