Shared investment rounds: one project, many investors
No investor should have to carry a mining project alone. We are developing rounds where an owner could raise money through shares, a royalty, a stream or a convertible note, and several investors could share the deal, each holding small pieces of many projects.
- 1The owner chooses how to raiseThe owner, private or listed, picks the kind of deal that suits the project: selling shares, granting a royalty or a stream on future production, or borrowing through a convertible note. The terms are set once, for the whole round.
- 2The owner commits, and we reviewThe owner runs the work programme and puts some of its own money into it, so investors fund alongside the people doing the work. A lead investor may also anchor the round. Each round would pass our due-diligence review before it opens, and projects that draw investor interest on Lode would be the first candidates.
- 3Many investors share the unitsInstead of one buyer taking the whole deal and all of its risk, the deal would be divided into units, held through a regulated nominee. Whatever the deal pays out, whether sale proceeds, royalty or stream income, or interest, would be split between holders in proportion to their units.
- 4Later, units trade in periodic auctionsOnce enough investors hold the same project, units could trade between them in scheduled auctions on a regulated venue, recorded as digital tokens, with every holder receiving the same updates first. There is no guarantee of a buyer.
- The deal
- The owner grants a 2% royalty on future mine revenue for $2 million, and keeps the project.
- What you hold
- 2.5% of that royalty.
- What you could get back
- A share of 2% of the mine's revenue for as long as it produces. It pays nothing unless a mine is built, which is typically 10 or more years away.
Example: a $2 million round, with the owner also funding part of the work programme and every investor on the same terms. You put in $50,000, which is 2.5% of it.
Until then
Browse projects and open their data rooms under NDA today. Join the investor list for updates about the platform, including if rounds launch.
Shared rounds are in development and not open. Nothing on this site is an offer, and numbers in examples are illustrative. Joining the investor list gives updates only, with no right or priority to take part. Future services in the terms.