The IPO is a totally transformational process for any organisation, and it decisively changes the daily life of both top management and all employees.
During the sometimes long journey of an IPO, senior management should be able to focus not only on becoming but also on being a public company.
In general, we can say that metamorphosis offers possibilities and new stimuli also on the communication level.
HEAR-ir is able to assist its customers from day one, having the right means and the best expertise at its disposal, as well as a recognised track record in major European operations and projects.
Companies targeting the capital market often focus on communication as a key element on the first day of listing. But in reality, potential investors, the media and other stakeholders start looking at the new IPO long before the real trading phase begins…
Prior to listing, the company must build a robust and effective strategy, including the guidance to be provided to the market;any inconsistency or distortion between the various information provided, even at different times and to different interlocutors, can immediately turn red lights on the credibility of the company (or its management), and therefore on its real chances of achieving the results indicated in the Plans
To be a valued public company and create long-term value, companies should succeed as much as possible in reaching, if not exceeding, the stated and announced financial targets. It is better to position oneself in such a way that forecasts are exceeded, so that upward guidance has to be updated, quarter after quarter, and downstream of the IPO, creating a positive expectation.
In complex and sometimes extremely volatile financial markets, investors’ scrutiny becomes more and more stringent: investors prefer to see profits reinvested in the business to strengthen different areas and provide the right engine for growth; investors need to see the future potential of the company and the return on their investment.
Accelerating the pace of mergers and acquisitions, or of all extraordinary transactions in general, requires major changes in a company’s processes and organisation, even if the transactions are small. It can happen that management is focused on managing several activities at the same time, and productivity can suffer as they struggle to complete the M&A process properly. . We have found that most companies are not prepared for the intense work of completing an extraordinary transaction, and tinkering with the process can jeopardise the very growth they seek. Completing deals at the expected pace cannot happen without an efficient end-to-end process, and one of the most often overlooked, if seemingly obvious, elements of an effective M&A programme is ensuring that each deal supports the company’s strategy.
Top managers need to be able to understand not only what kind of transaction they want for their company, but also what kind of transaction they can successfully complete. Increasing, or even exceeding, the number of transactions requires a high investment not only financially but also in human resources.
At HEAR-ir, we can assist our clients both in the actual M&A process and in the market communication phase.
Via Benaco, 15 – 00199 Rome Italy
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