Posted on December 5th, 2018. Posted by John Woolford, MBA
At-the-market (ATM) offerings, a tool early-stage companies have used for years to quickly raise capital, have grown increasingly common among healthcare players, with biotech firms in particular embracing this funding method.
ATM financing provides young, publicly traded companies with a relatively agile, low-key, low-hassle, lower-cost way to sell newly issued shares to finance growth — without the need to stage a road show or even announce the sale. This works well for businesses like biotech firms that need to fund R&D and general operations before their products have received government approval for commercial sale.
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Posted on November 20th, 2018. Posted by Tom McDonald
The J.P. Morgan Healthcare Conference provides an insightful beginning to the year. Beyond offering an opportunity to meet with analysts, investors, and other professionals in the healthcare industry, it illuminates trends that you’re likely to see throughout the upcoming year.
As you look forward to the 2019 event in January, start thinking about the information you can glean from the sessions you’ll attend, meetings you’ll facilitate, and announcements you’ll hear over the course of the conference.
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Posted on November 7th, 2018. Posted by Asher Dewhurst
Some management teams assume — incorrectly — that they can play it safe by withholding financial guidance, believing they can’t miss estimates they don’t provide. To the contrary, companies may inadvertently limit their Street credibility by opting out of earnings forecasts and, at the same time, miss an opportunity to manage investor expectations.
Investors judge financial results against analysts’ consensus estimates even if a company doesn’t provide projection, so it makes sense for leadership to set expectations themselves and provide some guardrails. Perhaps more importantly, formal guidance signals management’s confidence in the company’s growth and stability.
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Posted on October 24th, 2018. Posted by Tom McDonald
At a “banker bake-off,” you have the opportunity to compare investment banks and learn how they position themselves. One bank may talk about its relationships with the buy-side accounts, while another will highlight its track record for successfully getting private companies public.
After hearing that information, how do you make your final decision? Here are five primary areas to focus on to help you select the right banking team.
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Posted on October 10th, 2018. Posted by Robert Uhl
Congratulations! You have spent the past 12 months — or possibly longer — building relationships with the Street, including investors, bankers, and sell-side analysts. You refined your presentation deck; drafted the S-1 after spending hours in a room with your attorneys, accountants, and management team; and brought your website and its content up to the caliber of a company that expects to be public soon. You engaged with the buy side during test-the-waters (TTW) meetings and, finally, your confidentially filed S-1 has flipped public.
However, U.S. Securities and Exchange (SEC) regulations require that you wait 15 days before the road show begins — so what do you do now?
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Posted on September 20th, 2018. Posted by Caroline Corner
Wall Street analysts can play a key role in a company’s investor relations plan, so executives should approach these relationships carefully. Properly handled analyst relationships can become a significant asset to a company, while missteps may create unnecessary problems — especially considering that analysts may share anything you say with the public markets.
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Posted on September 12th, 2018. Posted by Tom McDonald
In April 2018, the Hong Kong Exchange announced a change to its listing rules to allow (among other things) biotechnology companies with no revenue to list on the bourse. The move came as Hong Kong sought to establish itself as a financing hub for pre-revenue companies, in the face of fierce competition from the Chinese mainland and Singapore, exchanges from which had been aggressively wooing companies with fast-growing earnings.
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Posted on August 23rd, 2018. Posted by Tom McDonald
In conjunction with your company’s initial public offering (IPO), your two-week road show will take you across the country and put you in front of hundreds of potential investors. To prepare you for the trip, your bankers will make sure you know the ins and outs of your “story.” However, to make your meetings successful, you’ll want to be aware of a few more tips for success. Here are 10 things you should keep in mind during those IPO road show meetings.
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Posted on August 15th, 2018. Posted by Jack Powell
For companies that want to remain attractive to the investment community, the rise of environmental, social and corporate governance (ESG) investing is an important trend to monitor. In 2018, Morningstar Research estimated that the total assets managed in portfolios that incorporate elements of ESG investing has grown by more than 600 percent over the last decade to $23 trillion worldwide.
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Posted on July 18th, 2018. Posted by Mike Vallie
An acquisition carries the promise of growth and change, and a fair amount of risk, for any company. As a buyer, you may be seeking to broaden your service offerings or geographic footprint, add a new technology, transform the company by expanding into a new healthcare segment, or become a bigger player in a consolidating market.
The prospect of change can be exciting and energizing. At the same time, the process — from shopping to deal integration — is complex and requires skillful planning and management.
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