Blog

Going Public — The Process

mirozecevicmmg

Mina Mar Group Agreement

Your company will then formalize its arrangement with Mina Mar Group which will outline Mina Mar Group’s plans, timelines, process, fees, the size of the offering, the price ranges and other parameters. In addition, decisions at this point will be made as to whether or not the company will be merged into a blank checks shell, or will use an alternative method such as a Direct Public Offering (DPO).

Drafting the Prospectus

After the letter of intent is signed, Mina Mar Group, in combination with our securities lawyers and your accountants, will begin preparing the prospectus. The prospectus is a written document prepared for investors as a legal disclosure document. The prospectus is required to contain the following information:
1. Audited financial statements
2. Business description
3. Management structure
4. The company’s capitalization
5. Management compensation
6. Transactions between the company and management
7. Shareholdings of principal shareholders
8. Intended use of the proceeds of the offering
9. Disclosure and discussion of the company’s operations and financial condition
10. The effect of dilution on existing shares
11. The company’s dividend policy
12. The underwriting agreement

minamargroup.com

ipo

Going Public — The Process

mirozecevicmmg

Internal company agreement to go public

 

Management will present the concept of going public to the Board of Directors so they may consider the option. Included in this presentation should be financials, projections, operating responsibilities, staffing, marketing, technology, intellectual property and other documentation to ensure that the board can make an adequate decision. Once the board approves the idea of going public, the next step is to assemble the right team.

At Mina Mar Group, we assemble the entire team for you. We will deploy a securities attorney as well as recommend an accounting firm in order to audit your company’s financials. The company’s financial statements should be carefully reviewed and to ensure they comply with Generally Accepted Accounting Principles (GAAP). The accounting firm assists with the review of the financial statements and the making of appropriate adjustments.

minamargroup.com

Large group of people in business presentation

IPO Process

mirozecevicmmg

The process of taking a company public requires a significant amount of work and knowledge of the reverse merger or IPO process. The assistance of a top team including an experienced securities lawyer is also mandatory for a successful outcome.

Mina Mar Group not only manages the entire process, but also provides a competent and proven team of internal & external staff and resources.
The Mina Mar Group turnkey process starts with your decision to go public and ends with your company acquiring a ticker symbol and raising capital.

Mina Mar Group doesn’t just take you public. We engage stock distribution and investor relations firms to ensure that the offering is distributed far and wide, in order to raise the most capital at the best price for your company.

minamargroup.com

 

minamar-logo-big

Strategic Communications

mirozecevicmmg

In support of our capital advisory services and as a stand-alone discipline, MMG provides a full range of investor relations services. The goal is to formulate a clear and concise message for the investment community and to build an audience of loyal followers and investors.

The principals of MMG have represented companies across all market caps and industries. The firm was founded on a strategic and professional approach to investor relations that builds awareness of our clients through tailored outreach programs that target institutional investors, analysts and the financial media.

Our approach is centered around properly educating investors and cultivating trust in order to uphold and protect management’s long-term credibility and reputation on Wall Street.

minamargroup.com

meeting

IPO Services

mirozecevicmmg

Public Shells

Mina Mar Group has invested significant resources and capital to develop and maintain an inventory of clean public shells for a variety of stock markets and company sizes. We have done the extensive work of “cleaning” our public shells thereby reducing all associated risks. We provide these public shells to our IPO clients and we also sell our public shells to qualified and interested parties.

Benefits of reverse merging into a public shell

There are numerous benefits of merging into a public shell for the right companies. Going public with a reverse merger allows a privately held company to become publicly held while reducing costs and diluting less of its stock than with an initial public offering (IPO) without using a shell. Using a reverse merger, the IPO process is built into two steps. First, the company is merged into a shell, and then the company is taken public.

Also, depending upon the reverse merger, success is less dependent upon market conditions, and more dependent upon those controlling the public and private companies. In contrast to a straight IPO, a reverse merger is much faster. Depending upon the status of the public shell, a reverse merger may take anywhere from 30 days to 120 days.

A standard IPO can take a minimum of one year to complete while using a tremendous amount of management’s time. Of course this is costly since if management is spending time on the IPO they are not spending time running the company.

Reverse merging into a public company opens new financing options including:

  • Issuing stock in an additional secondary offering
  • Exercising warrants, where stockholders may purchase additional shares at predetermined prices
  • Increase liquidity of company stock
  • Higher company valuation since share prices may be higher
  • Using stock to acquire other companies in order to grow the business
  • Using stock incentive plans to attract and retain valuable employees
  • Overall greater access to a variety of capital markets

 

MinaMar