Scalare Partners is a pioneering investment and advisory firm, specialising in supporting early-stage startups with funding and expertise.
In August 2024, Scalare Partners looked to list on the ASX via a reverse acquisition, with Candy Club (the listed vehicle) lodging a prospectus for a public offer that would result in the acquisition of Scalare Partners.
Challenges
Achieving a successful listing is a complex process at the best of times, requiring a well-prepared prospectus that meets regulatory and investor expectations. The reverse acquisition of Scalare Partners added an additional layer of complexity. While the primary challenge was ensuring a seamless and timely listing, additional hurdles included:
- Providing comfort to the regulators on the suitability of Scalare Partners for raising capital and listing on the ASX.
- Navigating the regulatory landscape surrounding reverse acquisitions.
- Ensuring the prospectus was comprehensive and compelling to attract investment.
- Addressing complex accounting issues related to reverse acquisitions, share-based payments and fair valuation of financial assets.
InCorp Advisory’s Role
InCorp Advisory played a crucial role in Scalare Partners successful listing which included:
- Detailed Review of the Prospectus: InCorp Advisory conducted a thorough assessment to ensure compliance with regulatory requirements and best practices.
- Participation in the Due Diligence Committee: The InCorp Advisory team provided input on key financial reporting matters, ensuring the financial information presented was both transparent and credible.
- Complex Accounting Advisory: InCorp Advisory advised on challenging financial reporting areas such as reverse acquisitions, share-based payments, and valuation of financial assets, leveraging its expertise to simplify the process for Scalare Partners.
- Ensuring Timely Completion: Given the strict listing timeline, the InCorp Advisory team worked efficiently to avoid any unnecessary delays.
Outcome
Thanks to InCorp Advisory’s expertise and input, Scalare Partners successfully completed its reverse acquisition of Candy Club, raising capital to fund future investments. The process not only strengthened their financial position but also reinforced their status as an innovator in the Australian investment ecosystem.
James Walker, the Founding Partner of Scalare Partners and a key figure in the listing process, acknowledged InCorp Advisory’s invaluable role in ensuring a smooth and effective transition to the public market.
“InCorp Advisory’s ability to navigate complex accounting matters and regulatory requirements was instrumental in achieving a successful outcome for Scalare Partners”
James Walker, Founding Partner, Scalare Partners
The Scalare Partners case highlights several key takeaways for future listings:
- Expert Advisory Accelerates Success: Having knowledgeable advisors involved in the due diligence and financial reporting process streamlines listing efforts.
- Preparation is Crucial: A well-prepared prospectus mitigates risks and ensures a smoother interaction with regulatory bodies.
- Innovative Listing Approaches Require Strategic Expertise: Reverse acquisitions can offer significant advantages but demand a high level of financial reporting and regulatory insight.
James Walker
Founding Partner | Scalare PartnersWe're here to help
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