Netcapital Inc. Announces Appointment of Rich Wheeless as CEO
Rhea-AI Summary
Netcapital (Nasdaq: NCPL, NCPLW) announced on December 8, 2025 that Rich Wheeless has been appointed CEO and that former CEO Martin Kay will remain as an advisor.
Wheeless brings more than 20 years of financial leadership across public and private companies, including prior CEO and CFO roles and experience in mergers and acquisitions, treasury, corporate finance, and corporate turnarounds. The company said it will expand beyond traditional securities into crypto and blockchain-enabled investments as part of its strategic direction.
Positive
- CEO appointment effective December 8, 2025
- New CEO brings 20+ years of financial leadership
- Company announced strategic expansion into crypto and blockchain
Negative
- Former CEO Martin Kay moved to an advisor role
News Market Reaction
On the day this news was published, NCPL declined 21.68%, reflecting a significant negative market reaction. Argus tracked a peak move of +116.5% during that session. Argus tracked a trough of -29.5% from its starting point during tracking. Our momentum scanner triggered 52 alerts that day, indicating high trading interest and price volatility. This price movement removed approximately $3M from the company's valuation, bringing the market cap to $9M at that time. Trading volume was exceptionally heavy at 466.1x the daily average, suggesting significant selling pressure.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
Sector peers showed mixed moves, with MIGI down 5.32% and WAI up 9.29%. This contrasts with NCPL’s -17.14% move, indicating stock-specific trading around the CEO announcement rather than a broad Finance Services rotation.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Dec 08 | Equity inducement grant | Neutral | -21.7% | Inducement grant of 1,000,000 restricted shares tied to future revenue. |
| Dec 08 | CEO appointment | Positive | -21.7% | New CEO with >20 years’ financial leadership, pivot toward crypto/blockchain. |
| Nov 19 | Blockchain platform expansion | Positive | -37.1% | Plan to integrate blockchain-native secondary trading and tokenized RWAs. |
| Sep 22 | Q1 FY26 earnings | Negative | -1.2% | 34% revenue growth but higher operating loss and continued losses per share. |
| Aug 12 | FY25 earnings update | Negative | -21.0% | Revenue drop to $869,460, wider operating loss and $19.9M impairment. |
Recent Netcapital news, including management and strategic updates, has often been followed by negative price reactions, even when announcements appeared strategically positive.
Over the last six months, Netcapital reported FY25 results with revenue of $869,460 and a widened operating loss of ($8.32 million), alongside a $19.9 million impairment, which drew a -20.99% reaction. Q1 FY26 delivered 34% year-over-year revenue growth to $190,058 but a larger operating loss of ($3.29 million). Strategic blockchain and digital-securities initiatives on November 19, 2025 and inducement equity grants on December 8, 2025 also saw sharp declines. Today’s CEO change and stated move deeper into crypto and blockchain fit this pattern of strategic shifts met with selling.
Regulatory & Risk Context
Netcapital has an effective Form S-3 shelf filed on October 21, 2025 allowing offerings of up to $50,000,000 in various securities, including common and preferred stock, debt, warrants, and units. The company also carried forward $9,004,894.40 of unsold securities under Rule 415(a)(6), providing flexibility for future capital raises and potential dilution via primary issuances.
Market Pulse Summary
The stock dropped -21.7% in the session following this news. A negative reaction despite the CEO appointment fits a pattern where prior management and strategic announcements, including blockchain expansion and advisory board formations, were followed by declines of up to -37.13%. The backdrop includes FY25 revenue falling to $869,460, a widened operating loss of ($8.32 million), and a $50,000,000 shelf that allows future equity or debt issuance. Such factors may have amplified concerns around execution risk and potential dilution.
Key Terms
crypto technical
blockchain technical
private equity financial
AI-generated analysis. Not financial advice.
- NCPL to Expand Beyond Traditional Securities into Crypto and Blockchain-Enabled Investments
BOSTON, MA, Dec. 08, 2025 (GLOBE NEWSWIRE) -- Netcapital Inc. (Nasdaq: NCPL, NCPLW) (the “Company”), a digital private capital markets ecosystem, today announced the appointment of Rich Wheeless as CEO. Former CEO, Martin Kay, will remain as an advisor to the company.
Mr. Wheeless is a seasoned executive with more than 20 years of financial leadership and corporate management experience across multiple industries in both public and private enterprises. He was most recently the Chief Executive Officer of a publicly traded logistics and warehousing solutions company and has served as an active investor, adviser, and board member for numerous privately held organizations.
Previously, he was the Chief Financial Officer of Taal Distributed Information Technologies Inc., a publicly traded company. Before that, he served as CFO of Rivetz Corp., a financial security software company, as well as CFO of LaunchKey Inc. and Pilus Energy—both ultimately acquired by publicly traded firms. Earlier in his career, he held the role of Director of Finance and Assistant Treasurer at Xtek, Inc., a privately owned manufacturer of custom-engineered steel replacement parts.
Mr. Wheeless’s background also includes managerial positions at Fortune 30 companies Johnson & Johnson and Cardinal Health, and he began his career in the private equity division of Citigroup. He has expertise in mergers and acquisitions, credit, treasury, corporate finance, financial reporting, operations, and corporate turnarounds, including multiple successful engagements with State of Ohio–funded companies under former Governor John Kasich.
He holds an MBA with honors from Otterbein University and a Bachelor of Science in Finance from Miami University. Mr. Wheeless is also a guest lecturer at universities and the co-author of a finance book.
“I am excited to join Netcapital’s management team and to build upon the company’s existing platform,” stated Rich Wheeless, Netcapital Inc. CEO. “By expanding beyond traditional securities, we believe there is a significant opportunity for revenue enhancement moving forward while helping small businesses integrate crypto and blockchain into their financing and capital markets strategy. I look forward to working with investors, clients, employees and government to create value and drive the company’s future direction.”
About Netcapital Inc.
Netcapital Inc. is a fintech company with a scalable technology platform that allows private companies to raise capital online and provides private equity investment opportunities to investors. The Company's consulting group, Netcapital Advisors, provides marketing and strategic advice and takes equity positions in select companies. The Company’s funding portal, Netcapital Funding Portal, Inc. is registered with the U.S. Securities & Exchange Commission (SEC) and is a member of the Financial Industry Regulatory Authority (FINRA), a registered national securities association. The Company’s broker-dealer, Netcapital Securities Inc., is also registered with the SEC and is a member of FINRA.
Forward Looking Statements
The information contained herein includes forward-looking statements. These statements relate to future events or to our future financial performance, and involve known and unknown risks, uncertainties and other factors that may cause our actual results to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond our control and which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects our current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to our operations, results of operations, growth strategy and liquidity. We assume no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
Investor Contact
800-460-0815
ir@netcapital.com
FAQ
Who was named CEO of Netcapital (NCPL) on December 8, 2025?
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