We thoroughly enjoyed meeting the many companies contemplating an IPO and their advisors yesterday at London’s IPO Forum, the largest and most well attended event of its kind to date hosted by the LSE yesterday.
While it’s been a challenging start to 2023, London’s Stock Exchange still remains the largest in Europe and there’s no shortage of companies who would benefit from – and are currently considering – a Listing.
A hot topic among the many fruitful panel discussions and introductions included the FCA’s proposed Listing Reforms which would simplify and help invigorate the Equity Market.
Here, then, are key takeaways and practical advice from panellists for issuers contemplating an IPO:
- Early engagement with IPO advisors pays dividends; it helps you avoid having to tackle issues later down the line when your time is at a premium
- Get your Virtual Data Room up and running and in good order at an early stage
- Make your Board ESG-compliant: the ESG story is important to investors
- Work with key teams across your Investment Bank – including, importantly, Research Analysts - to help craft your Equity Story (see our previous News item here) and ensure they understand your business, as they will help shape how investors see you
- Make sure your management team is credible, aligned together and in tune with your Equity Story; don’t be afraid to be yourselves
- Use your time effectively and harness the change; prepare and ‘put on hold’ if needs be; under promise and over deliver on your financial projections
- Engaging with potential investors at the 'Early Look' phase is critically important; key to seek out and nurture those ‘long only’ investors
- IR is key and investing in a good IR person and in your wider management team when preparing for the IPO pays dividends
- Don’t take your eye off the ball: it’s vital to manage and motivate your team. Don’t forget that while your advisors can help, ultimately it’s still you who’ll be doing the hard yards
- Be prepared for a ‘sea change’: life as a listed company is very different to that as a private company
- The IPO is just the beginning of the process!
If you'd like to find out more about how Black&Callow can help with your investor engagement and critical documents before, during and after your IPO, contact us on +44 (0)20 3794 1720 or at firstname.lastname@example.org.