Financial Market Authority issued an equity crowdfunding license offered to a funding portal Crowdcube New Zealand today. The announcement was not unexpected as the investment crowdfunding was recently legalized in New Zealand and Wellington-based Armillary Private Capital partnered with Crowdcube earlier this year to offer equity crowdfunding to investors in New Zealand.
The FMA has published a guideline of minimum standards a funding portal must adhere to receive a license. Companies in New Zealand may raise up to $2 million in any 12 months using crowdfunding. Issuing companies do not have to issue an investment statement nor prospectus creating a lighter touch regulatory approach.