An IPO functions as a quality stamp and ensures access to continuous capital
Becoming a publicly listed company not only ensures capital at the IPO date but also access to capital in the long run, in case additional capital should be necessary for the company to be able to expand and execute on its strategy and growth plan. Furthermore, an IPO functions as a quality stamp as listed companies are subject to strict requirements regarding disclosure and accounting standards to ensure transparency for all shareholders and stakeholders. In addition, listing on Nasdaq increases the company’s visibility and exposure to a broader group of customers, investors, and other stakeholders.
As your company develops, it is important to consider what the proper ownership structure may look like – typically it will make sense to invite specific investors into your company at different stages of your company’s growth journey. Secondary capital injections can be a good opportunity to attract larger institutional investors, but to attract such investors, it is crucial that your company gains some traction in the market by continuously delivering on the growth plans that have been communicated to the market.
How Grant Thornton Corporate Finance can assist with IPOs and other capital market transactions
To become publicly listed or complete a secondary capital injection requires thorough preparation and a great deal of both strategic and financial considerations. This can, of course, be both stressful and overwhelming for you as an owner of the company. As a financial advisor/Certified Adviser we will therefore assist and guide you through the entire process in close collaboration with the other advisors. Based on our deep process experience, we ensure that you will get a smooth process allowing you to maintain focus on managing the daily operations of your company throughout the entire process. We assist with the following:
- Assessment of IPO readiness and timing of a potential IPO/capital injection.
- Preparation and identification of potential risks.
- Board composition and organizational structure.
- Planning and review of alternative transaction strategies.
- Completion of capital raises prior to the IPO date (pre-IPO’s).
- Strategic considerations and advice on growth plan and budget model.
- Inputs to different valuation methods and structuring of the offering.
- Preparation of investor material as well as dialogue with cornerstone investors.
- Completion of the capital raise.
- Review opportunities for equity coverage and analysis prior to and after the IPO.
- Inputs to the structuring of warrant and share programs for employees.
- Open and transparent communication with the market (we also provide our recommendations in relation to the choice of PR advisor).
- Secondary capital injections and change of marketplace (e.g. a shift from First North to Main Market).
- Block sale – sale of existing shares on the secondary market.
