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September 19, 2016
 
 
Measuring Progress on Our Markets
 

As well stated in the longstanding NYSE Rule 202.5 on timely disclosure of material information, one of the most important and fundamental requirements of efficient markets is that public companies provide investors with adequate current disclosure and quickly release to the market any news or information which might reasonably be expected to materially affect the price for its securities. Public companies should also dispel unfounded rumors which result in unusual market activity. The provision of current and consistent public disclosure allows the market to fairly reflect the fundamental prospects of the company. Without access to good current information about companies, at best, markets can only reflect supply and demand of shares, the lowest and least efficient form of price setting.

Over the past 10 years, we have built a better OTC Markets with real-time technology to provide brokers and investors with the information they need to efficiently analyze, value and trade 10,000 OTCQX, OTCQB and Pink securities. Our data-driven market standards provide clear segmentation for investors, and incentives for public companies to be more transparent.

We have measured progress by the growth in trading in those companies that are the most engaged. Dollar volume in Pink No Information securities – a market designation that indicates that a company does not provide disclosure and should be approached with caution – has fallen from 5.2% of total dollar volume on our markets in 2014 to 0.3% year-to-date in 2016, while at the same time dollar volume traded on the OTCQX Best Market has increased from 15.1% to 19.8%.

This shift is the direct result of our efforts to bring greater transparency and information to our markets. We have made it easier for investors and brokers to identify those companies that provide fundamental investment opportunities, and better avoid the risks of opaque companies with limited disclosure through the Pink Limited and No Information market designations, as well as those companies that represent public interest concerns through the Caveat Emptor designation.

At the same time, we have established market standards that enable investor-focused companies to provide information-rich public markets in a cost effective manner. By expanding the distribution of market designations, key company information and innovative tools, like our Compliance Data File, that help streamline trading and compliance processes for broker-dealers, we are focused on helping investors make better informed decisions and enhancing capital formation.

 
 
 
OTCQX and OTCQB Gain Blue Sky Recognition in 10 States
 

Ten states now recognize our premium markets for the purposes of their "Blue Sky Manual Exemption" for secondary trading. The latest additions to this growing list include Alaska, Colorado, Mississippi, New Mexico and Rhode Island where securities regulators now recognize the OTCQX and OTCQB markets, as well as Kansas which now recognizes the OTCQX market.  This group joins the original four states to act: Iowa, Vermont, Washington and Wyoming.  Read more about State Blue Sky Laws and our premium markets.

 
 
Community Spotlight
 

Tim Leybold
CFO of Omni-Lite Industries (OTCQX: OLNCF)

"Omni-Lite is in an excellent position to leverage the world-class customer base we have and grow our position in the $15 billion markets in which we operate.  Customers like Alcoa, Monogram, Bosch, Olin-Winchester, Nike and others continue to look to us to provide solutions in material science and engineering."

 

OTC Markets Group (OTCM): Tell us about your company.

Tim Leybold: Omni-Lite is a high technology company that has been manufacturing mission critical, precision components for the aerospace, military, automotive, and sports and recreation industries for more than 20 years. The company employs proprietary and patented materials and cold forging processes to produce over 100,000,000 components annually in its state of the art facility in Los Angeles. Due to the proprietary nature of our technology, the company is the sole source supplier for approximately 70% of the products produced. Omni-Lite's Fortune 500 customers rely on the company for advanced material solutions using composites and special alloys utilized in mission critical applications. Omni-Lite's products are utilized in almost all commercial and military aircraft and can be found in over 6 million automobiles produced in North America each year. Omni-Lite also manufactures replaceable lightweight, ceramic spikes for approximately 50% of the track shoes produced and sold annually. Wayde van Nierkerk utilized a special nano product produced by Omni-Lite when he won the gold medal in Rio and set the new world record in the 400 meters.

Click here to read the full interview.

OTCM: You have announced two multi-year aerospace contracts this year. What is the significance for Omni-Lite?

Mr. Leybold: These 3-year contracts demonstrate our customers’ faith in the quality and reliability of Omni-Lite’s products and services. The aerospace industry is an important sector to the Company, representing approximately 38% of total revenue. Omni-Lite has invested heavily in this sector as it is expected to grow significantly in the next several years. The company is targeting 20% revenue growth for the next three years and these contracts represent an important part of that growth. This growth allows us to leverage the investment we have made in our state-of-the-art manufacturing facilities and helps ensure continued strong financial results for the company going forward. Multi-year contracts allow us the revenue visibility to continue investing for the future.

OTCM: What differentiates your company and what is your strategy for growth going forward?

Mr. Leybold: Omni-Lite is in an excellent position to leverage the world-class customer base we have and grow our position in the $15 billion markets in which we operate. Customers like Alcoa, Monogram, Bosch, Olin-Winchester, Nike and others continue to look to us to provide solutions in material science and engineering. The company has invested approximately $50,000,000 in the California facility to ensure we have the research, engineering and production expertise to meet growing customer requirements. We have a passionate and driven management team that responds quickly to customer and market opportunities, and will continue to strengthen that team in the near future. Omni-Lite’s balance sheet is very strong and we have already invested the capital necessary to support the rapid growth we expect in the coming years. We also have the opportunity to diversify our customer base and products by utilizing our research and design capabilities. For example, we are currently testing a precision component that we have designed for a potential customer for their use in the manufacture of solar panels.

OTCM: You are traded on TSX-Venture in Canada and joined the OTCQX market in the U.S. in February. What is your strategy for reaching U.S. investors?

Mr. Leybold: We believe Omni-Lite has a very compelling investment thesis, with excellent financial metrics, operating leverage and revenue growth. We face the financial market challenges of many small cap companies and need to tell our story to the wider investment community. The OTCQX market provides the company with initial exposure to U.S. investors and we intend to utilize that opportunity in the coming months by telling our story more often to more potential investors.

OTCM: What else do you want investors to know about your company?

Mr. Leybold: Omni-Lite is well positioned for reaching the next level of growth. We have excellent manufacturing facilities, outstanding engineering and design skills, a committed management team, world class customers and the market recognition necessary to achieve significant revenue growth, while leveraging our current operation and reputation as a leader in material science and progressive cold forging manufacturing.

Click to close.

 
 
FLYHT Aerospace Solutions
 
FLYHT Aerospace Solutions
 

OTCQX Video Series: Tom Schmutz, CEO of FLYHT Aerospace Solutions, Ltd. (TSX-V: FLY; OTCQX: FLYLF) talks to us about the company's proprietary technology, Automated Flight Information Reporting System AFIRS (TM), and its outlook for 2016. Watch now

 
CohBar Inc.
 
CohBar Inc.
 

OTCQX Video Series: Simon Allen, CEO of CohBar Inc. (TSX-V: COB.U; OTCQX: CWBR) discusses opportunities and hurdles for developing drugs that treat diseases associated with aging and key elements of CohBar's business plan. Watch now

 
 
OTC Markets Blog
 
 
5 Get Smart Tips on OTC Markets Compliance
 
5 Get Smart Tips on OTC Markets Compliance
 

The OTC equity market can seem overwhelming – with so many securities and data points to track, many compliance professionals are at loss for where to start.  The good news is you are not alone. Read more at blog.otcmarkets.com.

 
The Road Not (Yet) Taken
 
The Road Not (Yet) Taken
 

 

Diverging from prevailing discussions around online capital raising and equity crowdfunding, here is a look at some of the more practical applications of Reg. A. Read more at blog.otcmarkets.com.

 

To have new OTC Markets blog posts delivered to your inbox, visit blog.otcmarkets.com and click on the Follow icon at the bottom right of your screen.

 
 
 
Monthly Trade Summary - August 2016
 
 
Market Designations Number
of Securities*
Monthly
$ Volume
Monthly $ Volume
per Security
YTD $ Volume*
 
OTCQX 449 $2,877,457,826 $6,408,592 $23,966,228,902
OTCQB 931 $694,072,589 $745,512 $5,418,113,883
Pink 8,304 $11,157,937,975 $1,343,682 $91,627,587,236
Total 9,684 $14,729,468,391 $1,521,010 $121,011,930,023
 

*Data as of August 31, 2016

 
 
Events
 

83rd Annual Market Structure Conference – Washington D.C. (Sept. 14-16, 2016)

Inaugural Israel Day – New York, NY (Sept.14, 2016)

Marcum: Understanding Reg A+ and the 'Mini IPO' – Stamford, CT (Sept.14, 2016)

Rhoads & Sinon Institute – Harrisburg, PA (Sept.15, 2016)

FIG Partners 12th Annual CEO Forum – Atlanta, GA (Sept. 19-20, 2016)

Financial Institutions Stock Liquidity Conference – Nashville, TN (Sept. 21-22, 2016)

PACB Annual Convention – La Buena Vista, FL (Sept. 22-24, 2016)

4th Annual OTCQX Senior Executive Issuers Forum – Toronto, Canada (Sept. 27, 2016)

The Crowdfunding Conference 2016 – New York, NY (October 6-7, 2016)

5th Annual Global Crowdfunding Convention – Las Vegas, NV (October 15-17, 2016)

Securities Transfer Association Annual Meeting – Naples, FL (October 25, 2016)

Bank Executive & Board Compensation Conference – Amelia Island, FL (October 25-26, 2016)

Sidoti & Company 2016 Emerging Growth Convention – New York, NY (Nov. 1, 2016)

Baruch Financial Markets Conference – New York, NY (Nov. 1, 2016)

Global Alternative Funding Forum – Los Angeles, CA (Nov. 11, 2016)

IR Society: Best Practice Awards Dinner – London, UK (Nov. 22, 2016)

LD Micro – Los Angeles, CA (Dec. 6-8, 2016)

Crowd Invest Summit – Los Angeles, CA (Dec. 7-8, 2016)

Please contact events@otcmarkets.com for more information.

 
 
News
 

JOBS Act Converting Customers Into Shareholders - Bloomberg BNA (Sept. 14, 2016)

OTC Markets Receives Blue Sky Manual Exemption Recognition in Ten States - CrowdfundInsider (Sept. 12, 2016)

Regulation A+ Observations One Year Later - MicroCap Review (Fall 2016)

Securities Industry Experts Clarify the Realities of Taking a Private Company Public - Huffington Post (Sept. 9, 2016)

OTC Markets Group: Increasing Recognition, 100% Uptime - Investing.com (Sept. 6, 2016)

OTC Markets Group Inc. (OTCM) Research Coverage Started at Sidoti - BaseballNewsSource.com (Sept. 1, 2016)

Holding company for Naples bank goes public - Naples Daily News (Aug. 24, 2016)

OTC Markets Group Announces Quarterly Index Performance and Rebalancing - Markets Media (Aug. 9, 2016)

OTC Markets Group's (OTCM) CEO Cromwell Coulson on Q2 2016 Results - Earnings Call Transcript - Seeking Alpha (Aug. 7, 2016)

Attorney Laura Anthony and OTC Markets Group Bullish On Sophisticated Small-Cap Market Platform - PR Newswire (Aug. 2, 2016)

 
The Trendlines Group (OTCQX:TRNLY)
 
Light up the Market
 

The Trendlines Group (OTCQX:TRNLY) visits the OTCQX Market Center

Follow us on Twitter at @OTCMarkets

Boston Omaha Corporation (OTCQX: BOMN)

Royal Financial (OTCQX: RYFL)

TOMI Environmental Solutions (OTCQX: TOMZ)

TGR Financial, Inc (OTCQX: TGRF)

 
 
 
New OTCQX and OTCQB Companies
 

Welcome to the companies that joined the OTCQX Best and OTCQB Venture Markets in August. 

The OTCQX Best Market

Enzon Pharmaceuticals, Inc. (OTCQX: ENZN)
Euromax Resources Ltd. (OTCQX: EOXFF)
MetroCity Bankshares Inc. (OTCQX: MCBS)
Singing Machine Company, Inc. (OTCQX: SMDM)
Stereotaxis, Inc. (OTCQX: STXS)
TGR Financial, Inc. (OTCQX: TGRF)
The Trendlines Group Ltd. (OTCQX: TRNLY)

The OTCQB Venture Market

American Lithium Corp. (OTCQB: LIACF)
Anfield Resources, Inc. (OTCQB: ANLDF)
Capstone Companies, Inc. (OTCQB: CAPC)
Consumer Capital Group Inc. (OTCQB: CCGN)
DXI Energy Inc. (OTCQB: DXIEF)
Eurocontrol Technics Group Inc. (OTCQB: EUCTF)
Evans Brewing Co Inc (OTCQB: ALES)
Fuse Enterprises Inc (OTCQB: FSNT)
Golden Arrow Resource Corp. (OTCQB: GARWF)
KEEK INC. (OTCQB: KEEKF)
Liberated Syndication Inc (OTCQB: LSYN)
Semler Scientific, Inc. (OTCQB: SMLR)
Sunvalley Solar, Inc. (OTCQB: SSOL)
Wildcat Exploration Ltd. (OTCQB: WCTXF)

 
 
Graduates to an Exchange Listing
 

Congratulations to the companies that graduated from the OTCQB Venture Market to a U.S. exchange listing in August.

Biomerica, Inc. (NASDAQ: BMRA)
Ekso Bionics Holdings, Inc. (NASDAQ: EKSO)
MabVax Therapeutics Holdings, Inc. (NASDAQ: MBVX)
Reven Housing REIT, Inc. (NASDAQ: RVEN)