144-A Offerings and 144A Services
What We Can Do for 144A Projects
Here at ISIN we are a leading service provider of 144A offerings. 144A bond offerings are quite common and is considered to be one of the fastest, most efficient ways to raise capital in lieu of conducting an initial public offering (IPO). Additional, a 144A offering is much less expensive than an IPO.
We can assist with all aspects of the 144A offering, from the offering memorandum or prospectus, to the ISIN and CUSIP allocation process, to ensuring that the proper securities identifiers are obtained, through the Nasdaq Portal process, and much more.
Our team assists companies worldwide with their 144A offering. In finance, a bond is defined as debt security. In a bond offering, the issuer of the security pledges (and therefore really owes) holders of the debt an assigned interest on the coupon. Said another way, a bond holder is ‘promised’ a certain return on their investment for the loan allocated to the company issuing the debt. Additionally, depending on the terms of the bond, the issuer is obligated to pay interest (referred to as the “coupon” or “coupon payment”) and/or to repay the principal at a later date. This later date is called “maturity”. A bond, therefore, is nothing short of formal contract to repay borrowed money with interest at fixed intervals or periods of time. Often, the issuer (who is the company ‘issuing’ debt) will create an offering memorandum and offer the bonds, via private offering, as opposed to a public bond offering. Here at ISIN we can assist in all of your 144A bond requirements and ensure your company’s debt offering is structured correctly.
Rule 144A, adopted pursuant to the U.S. Securities Act of 1933, as amended (the “Securities Act”) provides a safe harbor from the registration requirements of the Securities Act of 1933 for certain private resales of restricted securities to Qualified Institutional Buyers (QIBs), which generally are large institutional investors with over $100 million in investable assets. When a broker or dealer is selling securities such as a stock or debenture, in reliance on Rule 144a, it is subject to the condition that it may not make offers to individuals other than those it reasonably believes to be Qualified Institutional Buyers.
Since 1990, the Nasdaq Stock Market offers a compliance review process which grants Depository Trust & Clearing Corporation (DTCC) book-entry access to 144A securities. ISIN.net can assist in all of your 144a requirements. Many companies conduct 144A offerings and are quite successful.