Private investors and capital-starved companies can now, for the first time, initiate directly negotiated private corporate and project finance transactions, without a matching service or other ‘gateway’ impeding the free flow of information. TheWealthJournal.net (TWJ), which provides actionable intelligence for the wealthy, has launched an investment newswire which is now connecting private investors directly with capital raising companies and projects worldwide. The service, DealWire, releases the flow of investment information with quality control and investor privacy assured by its registered Capital Raising Advisors (CRA’s), who are the corporate and project finance advisors raising capital for their clients. Until now, U/HNWI’s and their family offices have had to rely on a range of professionals and investment vehicles to identify opportunities for them. Now, DealWire enables them to initiate their own direct discussions, using their own wealth creation experience and professional advisors to structure their transactions.
Data contained in the Cap-Gemini World Wealth Report 2016, shows that there are 15.4 million U/HNWI’s worldwide with total investible capital of $58.7 trillion. Twenty per cent of this wealth ($11.4 trillion) is directed into ‘alternative investments’ including corporate and project financings. Most U/HNWI’s are successful, self-made entrepreneurs who deploy their wealth through their family office or an array of channels including hedge, private equity and venture capital funds along with other investment vehicles. (Editors: See Backgrounder below for more on investor profile and info for your country/region).
TWJ publisher David G Rose, said: “It’s widely accepted across the private capital market that family offices and the U/HNWI’s behind them are rapidly becoming the new hedge funds. Indeed, hedge funds themselves are morphing with venture capital, private equity and other direct investment vehicles into entirely new structures. Facing this multitude of investment channels are thousands of corporate and project finance advisors with, behind them, even more thousands of capital-starved clients. DealWire, by acting simply as a medium and not a ‘matching’ service, overcomes all this fragmentation by releasing the flow of investment opportunity information, in turn releasing a deep reservoir of untapped, pent-up private capital. Naturally, quality control over business and project plans, as well as protecting investor privacy until they’re ready to engage with the CRA’s client, are all built into the structure.”
Current DealWire listings range across a $50,000 food processing start-up in Nigeria to a $2.2bn sustainable fuel project in Germany. In turn generating rapidly growing interest from across the global private investment spectrum. Investors set their preferences and receive only investment opportunities matching those preferences by deal value, investment stage, market sector and location. Preferences can be changed quickly and easily at any time.
In closing Rose said: “Every market on the planet, financial or otherwise, has adopted technology over two decades to drive better efficiency. Yet the private capital market, comprising more than half of any developed economy, still relies on a bottomless labyrinth of relationships and networks that no-one can navigate. It’s not surprising that so few deals get initiated, let alone consummated. Until now there has been no unrestricted flow of information on corporate and project finance opportunities. DealWire, by releasing this basic information, backed up with the essential quality and privacy controls, brings private investment in corporate and project finance into the 21st century.”
TWJ is encouraging leading banks, worldwide, to provide DealWire as a white label service to their wealth, corporate and SME customers so that a global critical mass can be more quickly achieved. Legislation has been introduced in most countries enabling this to be done with no risk to or liability on the banks themselves.
Further information: [Google ‘DealWire’. – for print] [visit DealWire. – for online].
To add a local slant to your story view Capital Raising Advisors (CRA’s) in your area
Or view DealWire listings, https://thewealthjournal.net/Dealwire/Deals, in your area
Media contact for further information:
Contact: David G Rose, Publishing Editor
Phone: +44 7854 497535 (UK hours)
Investor research and data
Data contained in the Cap-Gemini World Wealth Report 2016, shows that there are 15.4 million U/HNWI’s worldwide with total investible capital of $58.7 trillion. Twenty per cent of this wealth ($11.4 trillion) is directed into ‘alternative investments’ including private debt and equity finance. TWJ experience and research also shows that private investors are mostly self-made entrepreneurs who are often ‘wealth’ customers of their banks and CEO’s of their own successful private companies. They invest or corporate venture either directly as individuals, through their companies or, increasingly, their family offices. They are not risk averse and always interested to know about opportunities that could complement their existing activities. Contrary to received wisdom, they do not restrict themselves to their own country or region. Most DealWire subscribers register to see proposals from all over the world, even if they are interested in deal values of just $50,000 to $250,000. Very often these deals come down to ‘successful entrepreneur’-on-‘upcoming entrepreneur’ transactions.
How DealWire works
When a deal has been posted to DealWire, Investors receive an e-mail notification with the headline of the opportunity matching their preferences, which then links them to a short ‘elevator pitch’ at the TWJ DealWire site. There is a messaging service at DealWire through which the investor can make direct contact with the CRA to request the full business or project plan, ensuring the privacy that all U/HNWI’s demand. If the investor is happy with the documentation they receive they will then go back to the CRA to engage with the capital raising client. On deal closing, completion fees are always negotiated between the investor, CRA and the client and TWJ DealWire has no interest in those or any other fees. Once the connection has been made between the investor and the CRA, DealWire has done its job.
Capital Raising Advisors (CRA’s)
Deals can only be posted by the CRA once they have assured themselves that the business or project plan is of a quality acceptable to investors. CRA’s range across a wide range of professions including lawyers, accountants, boutique investment banks, but are mostly corporate and project finance advisors. Over the past five years the market has been overrun with what experienced professionals call ‘joker-brokers’, often operating through social networks such as LinkedIn. TWJ DealWire only accepts seasoned professionals as CRA’s who can only register if they have an established and professional website demonstrating that they are experienced in the corporate and project financing sector.
DealWire is UK based and investors confirm as part of their subscription that they meet the requirements of UK FSMA 2000 (Financial Promotion Order) Amendment 2005. However, similar ‘accredited investor’ regulations have been introduced in most developed countries and investors are advised that, if pursuing an opportunity outside of their own jurisdiction, the CRA may ask them to confirm their ‘accredited investor’ status.
Company Name: The Wealth Journal
Contact Person: David Rose
Phone: +44 7854 497535
Country: United Kingdom