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Showing posts with the label #capitalmarkets

OTC Markets 15c211 Compliance and exiting the Expert Market

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  Mina Mar Group (MMG) focused on small-cap issuers quoted on OTC Markets announces the launch of its exit the expert market services. WEST PALM BEACH, FLORIDA, UNITED STATES, - Mina Mar Group (MMG) minamargroup.com a mergers and acquisitions firm (M&A) focused on small-cap issuers quoted on OTC Markets announces the launch of its exit the expert market services. The services will include and assist small-cap OTC quoted companies demoted to the expert market to rescue its quotation services. This product is ideal for companies that have been targeted for not having the funds or the knowledge on how to remain current with the new OTC markets rules, which were announced and came into effect September 28 202;1 and commenced at about 6 pm EST on September 27 2021 catching many issuers off guard. Mina Mar Group approach is a win-win solution for all parties with the focus on assisting shareholders, stakeholders and investors. Here is what took place on September 2...

Go Public - Initial Public Offering

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 Go Public - Initial Public Offering   An initial public offering, or IPO, is the first sale of stock by a company to the public. A company can raise money by issuing either debt or equity. If the company has never issued equity to the public, it's known as an IPO. Companies fall into two broad categories: private and public. Privately held companies have fewer shareholders, usually owner, their family and friends and sometimes venture capitalist and angel investors. The public is not able to invest in private companies. Private companies have benefits of not having to disclose much information about the company.  It usually isn't possible to buy shares in a private company. Public companies offered some part of their business to the public and trade on stock exchange so initial public offering is often called "going public". On the other side public companies can have thousands of shareholders and are subjected to rules and regulations. Public companie...

Reverse takeovers

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Reverse takeovers An RTO involves a smaller quoted company taking over a larger unquoted company by a share-for-share exchange. In order to acquire the larger unquoted company, a large number of shares in the quoted company will have to be issued to the shareholders of the larger unquoted company. After the takeover the current shareholders in the larger unquoted company will hold the majority of the shares in the quoted company and will therefore have control of the quoted company. Reverse takeovers benefits include: Easier access to capital markets As a listed company, more finance is likely to be available and the cost of that finance is likely to be lower than if the company was still unquoted. Higher company valuation As the shares in the company will be listed, potential investors will deem the shares to be less risky as the company will have to abide by the relevant rules and regulations. Enhanced ability to carry out further takeovers Once the s...

Rising Capital with Your Public Company

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Rising Capital with Your Public Company The Problem Solved by Continuous Offerings Period to the introduction of Reg A+, companies with existing stock trading are willing to sell with the old Reg A. To achieve this, the price of the price of the stock had to be relatively reasonably compared to the market price. But, the market price by small companies can be unpredictable or volatile. To enable the company changes the offering price, the company must file an amendment of its Reg A+ filing, and it takes weeks to get the approval by the SEC. During this period of waiting, changes in the market price automatically mean that pricing would be out of date. After the offering is approved by the SEC, companies have the right to offer stock at various prices over a period through the new Reg A+. At the time of sale, pricing information is filed after sale as a supplement which does not require the SEC review. Terminology First, there is a need to understand the differenc...

Regulation A VS IPO

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Regulation A VS IPO Even tough Reg A is an exemption from registration requirements like Reg D and Reg CF, Regulation A has more in common with IPO and it is often called a “mini IPO”. They are both open to all investors and securities offered can be traded and resold. advantages of Reg A is that it is more cost effective and more marketing friendly. Registration statement, known as 1A is similar to but simpler than S1 registration statement that is traditionally used for IPO. It requires just two years of audited financials and general level of disclosure is more streamlined. Preparation of 1A registration statement, attorneys and accountants costs and SEC review time are reduced. Also marketing of Reg A permits use of variety of media. SEC allows general solicitation and the goal is to find potential investors regardless if they have brokerage accounts with syndicate firms or not. To sum it up Reg A is saving time and money. MinaMarGroup.com InvestorRelations.mmg@gm...

Role of Investor Relations

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Role of Investor Relations Investor Relations combines finance, communication and marketing to effectively control the flow of information between a public company, its investors and its stakeholders. The main goals of an investor relations professionals are: To enable the company to achieve the optimum share price that reflects the  fundamental value of the company Representing the company to investors and representing investors to the company Providing financial information to investors (retail and institutional) in a timely and accurate way Providing nonfinancial data to support company valuations Observing the rules of securities commissions and stock exchanges Not  aggressive sales promotion or “closing” Presenting investor feedback to company management and board Building receptive capital markets for future financing at favorable terms Some of IR’s other functions include: Coordination of meet...

Regulation A & Rule 701

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Regulation A & Rule 701 Regulation A Section 508 of the Act directs the SEC to amend Regulation A+ to remove the provision making companies subject to the SEC Securities Exchange Act reporting requirements ineligible to use Regulation A/A+ and to add a provision such that a company’s Exchange Act reporting obligations will satisfy Regulation A+ reporting requirements. I have often blogged about this peculiar eligibility standard. Although Regulation A is unavailable to Exchange Act reporting companies, a company that voluntarily files reports under the Exchange Act is not “subject to the Exchange Act reporting requirements” and therefore is eligible to use Regulation A. Moreover, a company that was once subject to the Exchange Act reporting obligations but suspended such reporting obligations by filing a Form 15 is eligible to utilize Regulation A. A wholly owned subsidiary of an Exchange Act reporting company parent is eligible to complet...