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A P R I L / M A Y 2 0 1 8 www.resourceworld.com 47 Capiche Capital streamlines private placement process by Ellsworth Dickson Participating in a private placement can be a frustrating experience for an investor – but also a lucrative one. It's frustrating for not just small retail investors but all inves- tors. In fact, to date, small retail shareholders have generally not participated in private placements. Those invited to participate in such financings, and who are eligible, can purchase shares at a discount to the market price and often with a half or full warrant "sweetener" attached. Exercising "in-the-money" warrants before expiry allows investors even greater potential upside. The paperwork and filings required to complete a compliant private placement are extensive and complex, especially for an issuer. That's where Capiche Capital Technologies Corporation comes in. Founded by securities lawyer, James Atherton, CEO, and Jonathan Longe, Chief Technology Officer, Capiche operates a cloud-based platform that brings the private placement process online. Capiche's web-based platform simplifies the private placement process and reduces the time and cost required to complete that process so that a greater portion of proceeds are available for furthering corporate objectives and creating shareholder value. The platform is continually updated to ensure compliance with securities laws and stock exchange policies. Atherton told Resource World that the manual, paper-based method of recycling the last deal's paper for the next private placement no longer makes sense and that during the lengthy downturn in the mining sector, he and partner Longe developed the solution. Those in the mining sector may recognize Jonathan Longe's name; he is the founder of Corebox, a web-based platform for mining companies to graphically illustrate drill results. The Capiche platform guides users through the private placement process and auto- matically generates required documentation, thus allowing investors to complete their subscriptions online in just a few minutes and companies to track incoming subscriptions in real time. As the process is automated and online, companies can take subscriptions for smaller dollar amounts from a greater number of investors, thereby gaining access to a significant untapped pool of investors. Up until now, participation in most private placements has been limited to institutional investors, high-net worth individuals and those closely connected to the company. Canadian securities laws now permit exchange-listed companies conducting private placements to offer existing shareholders the opportunity to participate. The Existing Security Holder Exemption is an exemption from the prospectus require- ment and is available in all Canadian jurisdictions. It permits a distribution of a security by an issuer to a person who confirms in writing that, prior to the date the offering was announced, they held the type of listed security being subscribed for and, unless the investor has obtained suitability advice from a registered investment dealer, the investor invests a maximum of CDN $15,000 per issuer under the exemption in a 12-month period. The Accredited Investor Exemption does not have any such limit. Currently, Capiche is focused on private placements by companies listed on the TSX Venture Exchange, including the NEX Board, in the mining sector but the platform will soon be expanded to accommodate companies listed on other exchanges in other sectors. n For interested companies, a demonstration can be arranged at capiche.io MINING tures and dykes and sheet-like intrusions). These features are responsible for creating path- ways and entrapments for massive sulphide concentration in this new discovery area. The next drill pro- gram will be designed to trace these structures to determine the full extent and shape of this zone. Dr. Peter Lightfoot, one of the world's leading nickel sulphide experts and a technical adviser to Garibaldi, noted, "The E&L intru- sion is emplaced along a magma highway likely provided by the motion of faults at the margins of the Eskay Rift. This is what also makes the rest of the Nickel Mountain property so prospective. The exploration effort can expand greatly given the trend of VTEM plates and favorable geology." Garibaldi has compiled the results from the down-hole geo- physical surveys from the first 14 holes and has identified two unusu- ally strong conductive zones in the Anomaly D area. The first lies beneath the Discovery Hole EL-17- 14 and is estimated to be 200 metres long. The second conductive zone lies south of historic E&L Zone and measures 300 metres long. Both signatures are interpreted to repre- sent potential massive sulphides at depth. The company has identified a very prospective area of high-grade nickel-copper mineralization that it believes is part of a much larger mag- matic intrusive system. Garibaldi has 96.8 million shares outstanding and a market capitalization of $257 million. At the end of October, 2017 the com- pany raised $10 million at $3.15 per unit. n www.resourceworld.com