What is OTC Capital?
Who can use OTC Capital to raise funds?
How much can I raise using OTC Capital?
Who buys/trades shares on OTC Capital?
Why should I use OTC Capital?
Where can I find more information?

 What is OTC Capital?

• OTC Capital is a trading platform for unlisted companies to raise funds.
  
  
• Unlisted companies put up their shares for sale on OTC Capital. Registered investors may purchase or trade these shares on OTC Capital.
  
  
• In other words, OTC Capital is a "private equity market" for unlisted companies and registered investors.

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Who can use OTC Capital to raise funds?

• OTC Capital is only for companies that are incorporated in Singapore.
  
  
• If you wish to use OTC Capital, you will need to prepare your company to meet the OTC Admission Requirements.
  
  
• Typically, OTC Capital is suitable for companies with:
  
  
  • high growth potential
  • strong management team
  • committed strategic investors
  • market capitalisation below S$20 million

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How much can I raise using OTC Capital?

• You can raise a maximum of S$5 million in 12 months.

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Who buys/trades shares on OTC Capital?

• Private investors who are registered with the OTC Capital operator are free to buy/trade in shares.
  
  
• Anyone or company who abides by the rules and understands the risks involved can become a registered investor by applying to the OTC Capital operator.
  
  
• Private investors on OTC include individual investors, venture capitalists and private companies.
  
  
• The operator of OTC Capital is currently Philips Securities.

See:	Registration Process for OTC investors

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Why should I use OTC Capital?

• OTC Capital is a cost-effective way for small and medium enterprises to raise large amounts of capital.
  
  
• It is S$100,000 - S$300,000 cheaper than going public through an IPO listing to raise funds as there is no need to spend money creating a prospectus.

See:  OTC Fees

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Where can I find more information?

You can find more information on the OTC Capital website.

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