Many successful private companies
are ready to make the transition to the next level by
going public. But for some reason they may not be
in a position to complete the process of going public
through an Initial Public Offering (I.P.O.). Some
companies may not need the money from an IPO but still
desire to go public. Other companies may not be
able to produce the historical financial statements needed
to complete the filing requirements. Or there may
be some other reason for wanting to go public without
completing an IPO. The alternative method of going
public is to merge with a company that is already public.
There are many companies
that are already public but do not have any operations.
A private company that mergers with one of these companies
would be completing what is know as a reverse merger.
In a reverse merger the private company's operations would
continue and legally the public company would continue.
The net effect is that the private company is now public.
There are hundreds of shell
companies available for reverse mergers. Some are
actively traded and some are not. The cost of these
companies can vary greatly. It is important to have
an experienced firm like Coral Capital Partners who can
guide you through this process.
