Four Reasons To Do A Hybrid Reg A+ IPO

behind the scenes

Four Reasons To Do A Hybrid Reg A+ IPO

Darren Marble, the CEO of CrowdfundX, recentley shared a guest post on taking our readers “Behind the Scenes of a Hybrid Reg A+ IPO.

In 2017, several of the issuers that successfully listed on senior US Exchanges with Reg A+ offerings used a hybrid approach to their Reg A+ fundraising. A “hybrid” Reg A+ refers to raising capital from both Wall Street (mostly institutional and accredited retail investors attracted through a traditional underwriter) and Main Street (non-accredited everyday people) investors.

Marble notes that a hybrid approach requires more capital, time and resources than traditional capital raising. He shares four primary issuer motivations for a hybrid Reg A+ IPO:

1. Issuers can raise more capital by targeting multiple investor segments;

2. Issuers can build incredible brand equity by marketing their Reg A+ offer online;

3. Issuers can create an army of brand ambassadors by converting customers into investors, and;

4. Retail crowd investors are the stickiest money in the deal – they hold the stock.


Click this link to learn more about Hybrid Regulation A+ IPOs.



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