8 Investment Banks Helped OTC MicroCaps Uplist in Q3 2018


8 Investment Banks Helped OTC MicroCaps Uplist in Q3 2018

Uplisting from the OTC Markets to a senior US exchange, like the NASDAQ or NYSE American, is the goal of many microcap public companies trading on the OTC Markets. About one hundred out of the thousands of issuers listed on the OTC make the jump every year.

To uplist to a senior exchange issuers must meet a series of listing criteria. For microcaps, one of the most common paths to meeting listing criteria is obtaining a minimum level of shareholders equity. MicroCap issuers usually meet the shareholders equity threshold through a registered offering led by one or more investment banks.

In the third quarter of 2018, five of the fourteen OTC Graduates worked with investment banks to complete significant equity raises in connection with their uplists to senior exchanges. Combined, these five issuers raised $63.085 million.

Below, we look at the issuers and investment banks involved in those five funding rounds.

Ticker Book Running Manager(s) Co-Manager(s) Amount Raised
SOLO The Benchmark Company, LLC


Cuttone & Co. $10,000,000
SFET Chardan  — $7,335,000
AEYE B. Riley FBR  — $6,500,000
FVBC Sandler O’Neill + Partners, L.P.

Raymond James & Associates, Inc.

 — $35,000,000
BSGM Laidlaw & Co   – $4,250,000
Total $63,085,000


Electrameccanica Vehs Corp (Nasdaq: SOLO)

On August 9, 2018, SOLO uplisted from the OTCQB to the Nasdaq Capital Market. Electra Meccanica is a designer and manufacturer of electric vehicles. The Company builds the innovative, all-electric SOLO, a single passenger vehicle developed to revolutionize the way people commute, as well as the Tofino, an elegant high-performance two seater electric roadster sports car.

Upon uplisting to Nasdaq, SOLO completed a public offering of $10 million. The Benchmark Company, LLC and ThinkEquity, a division of Fordham Financial Management, Inc., acted as joint book-running managers and Cuttone & Co., LLC acted as co-manager for the offering.


Safe-T Group Limited (Nasdaq: SFET)

On August 17, 2018, SFET uplisted from the OTCQB to the Nasdaq.  SFET  is a leading provider of software-defined access solutions which mitigate attacks on enterprises’ business-critical services and sensitive data.

Upon uplisting to Nasdaq, SFET completed a $7.335 million underwritten public offering. Chardan acted as the sole book-running manager for the offering.


AudioEye, Inc. (Nasdaq: AEYE)

On September 4, 2018, AEYE uplisted from the OTCQB to the Nasdaq Capital Market. AudioEye is a technology company serving businesses committed to providing equal access to their digital content.

About one month prior to uplisting, AEYE raised $6.5 million in a private placement. B. Riley FBR, Inc. acted as sole placement agent for the offering.


FVCBankcorp, Inc. (Nasdaq: FVCB)

On Septemebr 14, 2018, FVCB uplisted from the OTCQX to the Nasdaq Capital Market. FVCbank is a $1.1 billion Virginia-chartered community bank serving the banking needs of commercial businesses, nonprofit organizations, professional service entities, their owners and employees located in the greater Washington, D.C., metropolitan and Northern Virginia area.

In connection with the uplisting, FVCB sold 1,750,000 shares of its common stock at a public offering price of $20.00 per share, resulting in gross proceeds of $35.0 million. Sandler O’Neill + Partners, L.P. and Raymond James & Associates, Inc. acted as the joint book-running managers in the offering.


BioSig Technologies, Inc. (Nasdaq: BSGM)

On September 21, 208, BSGM uplisted from the OTCQB to the Nasdaq Capital Market. BioSig Technologies is a medical technology company developing a proprietary biomedical signal processing platform designed to improve the electrophysiology (EP) marketplace.

One month prior to uplsiting, BSGM completed a $4.25 million private placement. Laidlaw & Co. (UK) Ltd. in New York participated in the private placement.


This post’s data was provided by Acquis Capital, LLC. Learn more at www.acquiscapital.com


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