Low profile does not exist, if you want the market to recognize you

Trends

Economy

Financials / Investors
Sector

Investing and Financial Services
Countries

Global

The difference between success and failure can involve just one step. For those encouraged to take the plunge, it is worth reminding them of two aspects that are sometimes forgotten but always crucial before going public: without an effective equity story, it will be much harder for your company to initiate the process. And without a good communication strategy tailored to the different interest groups, it will be even more difficult to cross the finish line and achieve a listing.

An IPO is like a model that you build. The first meccano pieces are the most complex and confusing. Structures, strategies, calendars and plans for engaging with investors must be coordinated. Possible scenarios and valuation ranges must be prepared and submission for regulatory authorization drawn up, in all cases adhering to demanding pre-established norms.

When all these pieces are in place the result will form the backbone of the Prospectus, which will be registered with the regulator. It will be time for a first contact with the markets: the information will be made public, and must therefore be transparent, and also build a rationale capable of attracting the investment community, clarifying doubts and generating a favourable climate of opinion for the IPO.

Consequently, candidates need to build an attractive, truthful and well-argued rationale dealing with all doubts. The overriding goal is to give meaning to the entire process, awake interest and leave no loose ends on the reputation front.

There is no doubt that effective communication will help tip the balance of this process in the right direction. Both in terms of highlighting your strengths and also to head off and mitigate weak flanks, if any. Not to mention the usefulness of having a game plan from the start to deal with the media and explain milestones in the process to them. Something especially important in times of media hunger for information always present during a dry season for operations as the current one.

To achieve this, it is highly advisable to take advantage of the weeks prior to the window of opportunity to create a favourable environment that facilitates the subsequent process. It is especially important if we take into account that windows to manage an operation of this type are increasingly narrow and unpredictable. Preparing to open such a window will facilitate that final step that takes us towards the final goal, in this case the ringing of the bell on the trading floor.