A Private Investment in Public Equity (PIPE) Transaction is a transaction where an investor purchases securities directly from a publicly traded company rather than from the markets generally. Normally investors are unable to sell these securities immediately after purchase because they are not typically preregistered with the SEC; however, the company normally agrees to immediately register the sale with the SEC so the investor can sell their security holdings. These investments benefit the company because the investment amount is predicable, and the investor since the investor normally gets the securities at a discount.
Regardless of the PIPE Transaction, BTJD has the expertise to help the client meet his or her objective. We help clients purchase and sell all types of debt and equity securities, including derivative securities, through PIPE Transactions. Additionally, we assist clients with both traditional and structured PIPE Transactions and help protect our clients against shareholder dilution.