4 Investment Banks Helped OTC MicroCaps Uplist in Q4 2018


4 Investment Banks Helped OTC MicroCaps Uplist in Q4 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 fourth quarter of 2018, three of the twelve OTC Graduates worked with investment banks to complete significant equity raises in connection with their uplists to senior exchanges. Combined, these five issuers raised $23.35 million.

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

Ticker Book Running Manager(s) Co-Manager(s) Amount Raised
AVCO Boustead Securities, LLC $7,551,012
CREX A.G.P./Alliance Global Partners The Benchmark Company LLC $10,000,000
DTSS ViewTrade Securities, Inc. $5,800,000

Avalon GloboCare Corp. (NASDAQ: AVCO)

On November 5, 2018, AVCO uplisted from the OTCQB to the Nasdaq Capital Market. Avalon GloboCare is a global intelligent biotech developer and healthcare service provider dedicated to promoting and empowering high impact, transformative cell-based /technologies and their clinical applications, as well as healthcare facility management through its core platforms, namely “Avalon Cell” and “Avalon Rehab.”

In preparation for its listing on the Nasdaq, Avalon (i) closed a private placement offering in the aggregate amount of $5,437,250, whereby the Company sold 3,107,000 shares of common stock at a price per share of $1.75, and (ii) closed a $2,113,762.50 underwritten public offering of the Company’s common stock at price per share of $2.25. Boustead Securities, LLC acted as the Company’s placement agent and underwriter for these offerings.


Creative Realities, Inc. (Nasdaq: CREX)

On November 15, 2018, CREX uplisted from the OTCQB to the Nasdaq Capital Market. Creative Realities helps retailers and brands use the latest technologies to inspire shopper engagement in and around the Store.

In connection with its uplist to the Nasdaq, Creative Realities closed a $10,000,000 underwritten public offering, consisting of 2,857,142 shares of common stock and warrants to purchase 1,428,571 shares of common stock at the combined public offering price of $3.50 per share. The warrants have a per share exercise price of $4.375, subject to adjustment, are exercisable immediately and will expire five years (5) from the date of issuance. A.G.P./Alliance Global Partners acted as the sole book-running manager for this offering. The Benchmark Company LLC acted as co-manager.



On December 19th, 2018, DTSS uplisted from the OTCQB to the Nasdaq. Datasea is a technology company in China engaged in the development of information technology (or IT) systems and network security solutions.

In connection with the uplisting, DTSS completed an underwritten public offering of 1,450,000 shares of common stock at a public offering price of $4.00 per share for gross proceeds of $5.8 million, before underwriting discounts and commissions and offering expenses. ViewTrade Securities, Inc. acted as the Sole Underwriter and Sole Book-Running Manager for the offering.

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


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