So why a case study on private placements if one needs to be an Accredited Investor most of the time and most investors are not Accredited Investors?
Opportunities such as the True Leaf are few and far between.
There are many crowdfunding opportunities; however, extra due diligence is often required.
In my article this month, I said there was a good reason why you would want to read this month’s article written by Jason DeJean and specifically because you may just want to be on his list. Jason is collecting a list of investors interested in private placements. There are exemptions from the Accredited Investor status such as when a Financial Advisor undertakes the transaction. Often, there is no fee to the investor either because the company pays a finders’ fee to Financial Advisors such as Jason.
FV Pharma Inc is a company that you likely have heard of. A 200-million gram per year of potential production facility with onsite hydro electric power generation. They are pre CSE Listing and at this time should be listed shortly under the symbol (HUGE).
Financial Advisors such as Jason are often the key to participate in pre-listing private placements.
Simply by staying on top of industry news do these opportunities present themselves. Sometimes existing shareholders are exempt from the Accredited Investor Requirement.
There are other easy ways to track down companies that are not listed with investment opportunities. Use the Health Canada Licensed producer and lab lists – go to the company websites and see what there is. Bulletin Boards such as StockHouse
have a “deal room” with such opportunities. Lastly, ask on social media – sometimes these places may prove useful. Our content and ads may also reveal opportunities.
We know M&A is heating up … owning shares in the companies involved is almost a bonus ROI.
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