This presentation is a high level summary of Lucite Advisor’s SNAPP Program available through Nile Capital. For more information, contact: Bob Roach (617) 641-2865 or Bilal Basrai (312) 475-0104 Presented by Nile Capital, LLC. & Lucite Advisors, LLC.
Lucite Advisors, LLC is an investment advisory firm that assists both public and private companies raise growth capital ( www.luciteadvisors.com )
Lucite partners with management teams and leading financial institutions to provide the capital, expertise, and strategic relationships necessary to build market-leading businesses
Lucite Advisors developed the SNAPP program to significantly increase a company’s shareholder base while providing accredited investors with investment opportunities at a discount to current market values
Lucite Advisors conducts all securities-related activity through Nile Capital
Nile has partnered with the principals of Lucite Advisors, LLC to offer a unique program called SNAPP – Shareholder Net Acquisition Placement Program
SNAPP provides a platform to significantly increase the shareholder base of promising, microcap companies (market capitalization less than $300 MM) with defined markets, proven revenue and business models
Through Nile, approved microcap companies offer up to $1 million of common equity shares to SNAPP investors at a significant discount to current market value
Accredited investors who participate in the SNAPP program are provided the opportunity to build a diverse portfolio of promising microcap companies with an initial cost basis below the then current market value plus potentially other enticing investment terms
A simple, cost effective process that benefits both investors and companies
Many small companies seek a more robust shareholder base
A limited shareholder base makes it more difficult for companies to raise sufficient capital to grow operations, move to a higher-level public exchange, and ultimately bring increased liquidity to their stock.
While as an asset class, the microcap market offers investors risk & asset allocation diversification, price volatility is often a mitigating factor
As with many investments, cost basis is a key factor to generating superior, risk adjusted returns
Q: What is the waiting period from the time a SNAPP investor funds an investment until the shares are tradable?
A: Typically it will take 6 months, although it could be sooner, depending upon the type of transaction. Again, you will be able to manage the shares in your individual brokerage account.
Q: Why would a company be willing to sell shares at a discount?
A: Many quality companies have a substantial need to add new shareholders to their base. Because of this, companies are willing to offer enticing terms in order to attract a large and diverse accredited shareholder base.
Q: Please describe the model SNAPP company?
A: A typical SNAPP target company may be traded on the Over-the-Counter Bulletin Board (OTCBB), have a strong & experienced management team, solid earnings & operational history, clean balance sheet, compelling product/service and in need of additional accredited shareholders.
Q: How does a SNAPP investor’s small investment help a high-growth company?
A: By making a small investment, SNAPP investors become shareholders of the company and thereby increase the shareholder base and public float. Many of the higher-level exchanges, such as the NYSE AMEX or NASDAQ National Markets, have minimum corporate shareholder size requirements of 400-800 public shareholders. Once the company has acquired additional shareholders, they are able to move to a higher-level exchange, thereby increasing the company’s exposure to a larger universe of investors and analyst coverage. These types of moves to higher level exchanges may result in improved market valuations and acceptance.