8-K: MacKenzie Realty Capital Commences Trading on OTCQX Best Market, Enhancing Investor Access

MacKenzie Realty Capital, Inc. has begun trading on the OTCQX Best Market under the ticker symbol MKZR, aiming to increase visibility and accessibility to U.S. investors.

Summary

• MacKenzie Realty Capital, Inc. has started trading on the OTCQX Best Market under the ticker symbol MKZR.
• The OTCQX Best Market is the highest tier of the OTC Markets, where approximately 10,000 U.S. and global securities are traded.
• This move is intended to enhance the visibility and accessibility of MacKenzie to U.S. investors.
• MacKenzie has also secured Depository Trust Company (DTC) eligibility for its common shares, which facilitates cost-effective clearing and settlement of trades.
• The company has retained JWTT Inc. as its OTCQX sponsor and market maker, and Andrew Barwicki Incorporated (ABI) for investor relations and corporate communications, with ABI receiving a monthly retainer of $5,500.
• MacKenzie's portfolio includes interests in 6 multifamily and 11 office properties across 5 states.

Sentiment

Score: 7

Explanation: The document conveys a positive outlook with the move to OTCQX and the engagement of market makers and investor relations. However, it also includes standard risk disclosures, which temper the overall sentiment.

Positives

• Trading on the OTCQX Best Market is expected to increase the company's visibility and accessibility to U.S. investors.
• DTC eligibility will simplify and accelerate the settlement process of daily trades.
• The engagement of a market maker should improve liquidity for shareholders.
• The hiring of an investor relations consultant should improve communication with investors.

Risks

• The document includes forward-looking statements that are subject to risks and uncertainties.
• Actual results may differ materially from those projected due to various factors, including economic, competitive, and market conditions.
• The company's performance is subject to the risks outlined in its Annual Report on Form 10-K.

Future Outlook

The company intends to generate broader recognition by investors and highlight its long-term commitment to real estate investment, expecting to enhance share value to all shareholders.

Management Comments

• Chip Patterson, MacKenzie Board Chair, stated that the company has been investing in real estate securities and properties since 2012, seeking value others often overlook.
• Chip Patterson also mentioned that the company's size and experience enable it to be nimble and creative.
• Robert Dixon, President of MacKenzie, hopes that OTCQX will provide shareholders with liquidity opportunities and enable others to invest in the company.
• Robert Dixon also stated that joining the OTCQX Best Market is intended to generate broader recognition by investors and highlight MacKenzie's long-term commitment to real estate investment.

Industry Context

This move to the OTCQX Best Market is a strategic step for MacKenzie to gain more visibility and access to a broader range of investors, which is a common goal for companies in the real estate investment sector.

Comparison to Industry Standards

• Many smaller REITs and real estate investment companies use the OTCQX market to gain access to a wider range of investors.
• The move to OTCQX is similar to other companies seeking to increase liquidity and visibility without the requirements of a major exchange listing.
• The use of a market maker is a standard practice for companies on the OTCQX to ensure a liquid market for their shares.
• The engagement of an investor relations firm is also a common practice for companies seeking to improve communication with investors.

Stakeholder Impact

• Shareholders are expected to benefit from increased liquidity and potential share value enhancement.
• Potential investors will have easier access to invest in the company.
• The company's move to OTCQX is expected to improve its visibility and reputation.

Next Steps

• The company will continue to trade on the OTCQX Best Market under the ticker symbol MKZR.
• The company will work with JWTT Inc. for market making services.
• The company will work with Andrew Barwicki Incorporated (ABI) for investor relations and corporate communications.

Key Dates

Keywords

OTCQX, MKZR, DTC, Real Estate, Investor Relations, Market Maker, Real Estate Investment Trust, REIT