OTC Markets Executive Shares Expectations For Reg A+ In 2019

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OTC Markets Executive Shares Expectations For Reg A+ In 2019

Last week, The SEC adopted final rules to allow reporting companies to rely on the Regulation A exemption from registration for their securities offerings.

Following the news, Crowdfund Insider caught up with Jason Paltrowitz of OTC Markets Group to discuss Reg A+ issued securities trading on OTC markets.

One of the questions Paltrowitz answered was about his expectations for Reg A+ in 2019.

Crowdfund Insider Question: What are your expectations for Reg A+ and 2019? What about small cap issuers in general?

Jason Paltrowitz: “We have seen some very successful uses of Reg A+ … the ones that made the headlines, the exchange-listed offerings, have not fared well, and we would argue that it was very costly for a company that went to an exchange too soon.

However, Reg A has been an effective mechanism for community banks, REITs and other issuers that did not tie the offering to a national exchange listing.

Going forward, it is just another funding arrow in the quiver of small cap issuers. And, in many ways, it is a more effective alternative to PIPES, convertibles and other opaque, less regulated capital raising tools that are the root of the share deposit issues we are talking about.”

 

Read the entire interview on CrowdfundInsider.com.


 

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