Merriman Holdings, Inc. ( MERR ) will be advising Caliber Companies on the process toward a Regulation A+ offering. The anticipated offering will allow Caliber to raise up to $15 million and the transaction is expected to be offered through a syndicate of investment banks.
A Regulation A+ offering is a newly Securities and Exchange Commission mandate that allows investors of all classes to participate in the IPO process, said Jon Merriman, CEO of Merriman Holdings. In the past, only accredited investors were able to invest in firms on the ground level.
Caliber, The Wealth Development Company believes this type of mini-IPO will help the firm continue to grow at a fast pace.
“Now more than ever we are convinced that the right path for Caliber and the right path for great companies in America is Reg. A+. We believe that Reg. A+ was formed specifically for solid, high growth companies like Caliber. We are pleased to be working with the entrepreneurs at Merriman on this groundbreaking transaction,” said Chris Loeffler, CEO and co-founder of Caliber.
“Today’s IPO markets are clearly broken, severely inhibiting capital formation for emerging growth companies. The SEC, through its recent mandate under Reg. A+, has begun to level the playing field and is now enabling all classes of suitable investors to participate in the IPO process. Their actions may jumpstart what used to be a robust environment for capital raising in the U.S.” Merriman added, “In the past, many ground-breaking companies came public with small IPO’s. It’s amazing to note – in light of today’s incredibly bifurcated market – that Adobe went public in 1986 with a $7 million transaction. Clearly, we need to get back to the point when fast growing, deserving private companies want to, and are able to, go public again. This is important for all stakeholders, and, in the long term, will benefit employment and our economy,” Merriman said.
Caliber has not registered or qualified a Regulation A offering with the Securities and Exchange Commission (“SEC”).
Prior to doing so, Caliber is testing the waters to solicit potential investor interest. Caliber is not accepting money or any binding commitments at this time. No sales of these securities will be made or subscriptions accepted until qualification of the offering statement by the SEC. Any indication of interest made by a prospective investor is non-binding. No offer of securities will be made without providing any prospective investor with a qualified offering statement.
Interested investors and registered brokers can learn more about the proposed transaction by contacting Gary Abbott, Managing Director of Capital Market Advisory and Investment Banking at Merriman.