FAQ

1. What business models are suitable for participating under the heading Private Equity at placement-board.com?

Our range of services on offer is directed not only at established medium-sized enterprises in traditional industry segments but also at young, fast-growing enterprises whose novel business models hint at high growth potential in future.

2. In which cases is the preparation of a prospectus not required?

Pursuant to sections 3 and 4 of the German Securities Prospectus Act (WpPG), the private placement of shares in a listed company from Germany, is appropriate, amongst others, for offering securities which either (excerpt):

  • are exclusively directed to professional clients
    According to § 2 German Securities Prospectus Act No.6a) the term qualified investors includes professional clients in accordance with § 31a WpHG

  • consist of securities whose denomination per unit amounts to at least EUR 100,000

  • consist of shares which, over a period of twelve months, comprise less than 10 per cent of the number of shares of the same class already admitted to trading on the same regulated market

  • consist of shares issued in substitution for shares of the same class already admitted to trading on the same regulated market, if the issuing of such shares does not involve any increase in the issued capital

  • consist of securities, or securities of the same class, which have been admitted to trading on another regulated market for more than 18 months.

The exact text of the statute may be accessed here:

http://www.gesetze-im-internet.de/wpPG/index.html

3. What are professional clients under section 31a WpHG?

Professional clients within the meaning of the statute are investors with respect to which placement-board Corporate Finance may assume that they have sufficient experience, knowledge and expertise to make their own investment decisions and appropriately assess the associated risks.

The exact wording of the statute may be found here:

http://www.gesetze-im-internet.de/wphg/__31a.html

4. Who can view offers submitted by investors?

Offers which have been submitted are presented on the platform in alphanumeric order. Names are only visible to the issuers. Therefore, investors operate with each other anonymously.

5. How are payments settled?

placement-board Corporate Finance does not accept any payments on behalf of investors. Investors make payments directly to the account indicated by the issuer and bear any potential costs associated with the payment transaction. In the case of payments abroad, placement-board Corporate Finance may establish contact with a custodian if requested.

6. As part of a private placement, does the platform hold shares for placement with customers?

No. The platform acts as an intermediary between the parties and assumes neither shares nor guarantees for successful capital procurement.

7. What requirements do issuers need to fulfil in order to participate at placement-board.com?

Information required on this topic may be found under the heading "For Issuers".

8. What requirements do investors need to fulfil in order to participate at placement-board.com?

An investor must fulfil the requirements set out in section 31a WpHG in order to subscribe to equity investment offers via placement-board.com. Accordingly, the platform is not public and is directed exclusively at professional clients. Additional information may be found under the heading "For Investors".

9. May individuals be classified as professional clients?

Yes, retail customers may have themselves classified as professional clients under certain conditions pursuant to section 31a (7) WpHG. The required application form may be found here.

10. What function does the abuse button have?

In order to reinforce the high quality demands to which platform participants are subject, investors have the possibility to report offers which appear to be dubious. placement-board Corporate Finance will demand a response from the issuer on a case-by-case basis. If legitimate suspicions cannot be sufficiently clarified by the issuer, placement-board Corporate Finance reserves the right to exclude the issuer from the group of participants.

11. Does placement-board corporate finance take impact on the contractual arrangements between the issuer and the investor?

No. placement-board corporate finance takes no influence on the contractual arrangements. All participation agreements available on the platform are developed and offered by the issuer.

12. How are prices set for private placements and private equity investments?

A so-called book building process is not conducted by the platform, all subscription offers are based on fixed prices which are set in the discretion of the issuers.

13. How are contracts concluded between issuer and investor?

The issuer provides the investor access to contract documents on the platform. The investor can view these documents and submit a subscription offer. In response, the personalised contract documents are provided to the investor by the platform for signature. The investor sends the signed contracts back to placement-board Corporate Finance via fax or e-mail.

14. What is the term of a funding project?

Funding projects have a 90-day term and may - in the discretion of the issuer - be closed earlier or held open for additional periods of time. In addition, the issuer has the possibility to use placement-board.com as a permanent communications platform for investor relations functions. Please find more information about these fees in our price list.

Legal Notice

We offer you investment brokering (Sec. 1 (1a) second sentence no. 1 KWG (German Banking Act)) of financial and money market instruments as a tied agent pursuant to section 2 (10) KWG on behalf of, in the name of and on the account of Dr. Bauer & Co. Vermögensmanagement GmbH, Prannerstraße 6, 80333 Munich, Germany. Dr. Bauer & Co. Vermögensmanagement GmbH is an independent financial services institution and has the requisite authorisations from the German Federal Financial Supervisory Authority (BaFin). You may review additional information on this topic in our Imprint.