Fintech, Reg A and Online Offerings Promise to be Hot Topics at this Year’s Growth Capital Expo

Opportunities in online public and private offerings, the white-hot financial technology and therapeutic cannabis product sectors, turnaround plays in the energy sector, and an expected acceleration of the small cap IPO market after last year’s second-half pause await emerging growth company investors as they usher in 2016.

A resurgent equity private placement market funneled record amounts of capital into publicly traded emerging growth companies, raising $ 14 billion in 782 deals into companies of less than $500 million in market cap – a 16% increase in deal closings and a 30% increase in capital investment over the prior year, according to PlacementTracker. Financial sector issuers lead the way in 2015, attracting 32% of the capital raised in the EPP market, followed by energy-related companies, with 21% of new investment dollars, healthcare with 13%, and tech with 9.3%.

New equity offering options became available last year that will fuel growth in the nascent public venture market in the U.S. Reforms of the Regulation A and Reg D exemptions have opened up the emerging growth capital markets to technological innovation that promises to transform the way capital is raised by young companies. The new Reg A+ rules have been effective for just six months and already several young technology, life science and fintech companies have qualified public offerings seeking to raise nearly $100 million according to The Reg A Report.

Meanwhile, in the private emerging growth equity market, the repeal of solicitation bans on some Rule 506 offerings has opened the door to online marketing and execution of equity raises by pre-IPO companies that is transforming how investment in young growth companies will take place in future. Private growth companies raised some $ 870 million in solicited Rule 506 offerings tracked by crowdfinance research firm Crowdnetic thru September 2015, putting online crowdfinance on a track to becoming a new billion-dollar source of capital for small growth companies.

The excitement around retail crowdfinance has fueled institutional investor interest in financial technology plays that support the scores of companies that have sprung up to serve as online markets for these offerings. It has made fintech one of the hottest sectors for new investment in the emerging growth sector.

Another area of investor focus in 2015 that is garnering increasing interest from institutional investors in 2016 is legal marijuana-related companies. Bloomberg reports that the 55 largest publicly traded marijuana companies collectively total over $3 billion in market value. Despite often wild volatility in this sector, investor enthusiasm for this nascent industry, combined with an insatiable appetite for capital by the largely development-stage companies within it, assure continued attention in 2016.

These emerging growth investment opportunities and themes will be the focal point of three days of expert presentations and discussion panels at the Growth Capital Expo 2016, the third annual conference on market for emerging growth company finance, on May 3-5 at the Caesars Palace Resort and Casino in Las Vegas.

Produced by SNN, Inc., publisher of MicroCap Review, and MarketNexus Media, publisher of Growth Capital Investor, the Expo will feature a full slate of educational programming, starting with the ever-popular Public Company Boot Camp, a half-day workshop for senior management and directors of emerging growth companies that are preparing to go public, or have recently completed a going-public event. The Boot Camp has become the must-attend program of the Expo for company management teams, and all indications are that this limited-seating workshop will be standing-room only again this year.

The Expo begins in earnest the morning after the Boot Camp, when more than 600 emerging growth investors, advisors, and management teams gather for two full days of education, networking and investment presentations at the Caesars Palace Conference Center. Chief executives from 100 of the most-promising public and pre-IPO emerging growth companies will present to investors over the two-day period.

Adjacent to the company presentation rooms, more than 600 one-on-one investor –management meetings will take place in our meetings lounge, facilitated by dedicated meetings managers and online scheduler. Nearby, a full slate of expert panels will provide deep-dive analysis of market trends and issues impacting the emerging growth market, from regulatory and enforcement, to investment and trading strategies, deal structuring, hot sector niches and new sources of capital coming into the market.

All of these activities will be connected by the Expo’s networking hall, the central hub for all attendees seeking to connect with a colleague, explore a new trade service being demonstrated, or grab a refreshment on the way to their next session or meeting. Last year, the Expo featured over 50 exhibitors in the networking hall, which buzzed with conversation and dealmaking the entire conference.

Each day of the conference concludes with a fully-hosted networking reception – just the ticket to transition from business to fun in the nation’s entertainment capital, Las Vegas. Attendees can enjoy top-shelf libations and snacks while the Expo’s dedicated concierge secures a table or two for dinner at the city’s top dining spots to carry the good times into the warm desert night.

Early discounted registration for the Growth Capital Expo 2016 is available until March 1. Special discounted rates available as always for accredited investors.