Comprised of former buy- and sell-side professionals, Westwicke’s managing directors can attest to how notoriously difficult financial markets are to predict. One area where there is at least some degree of certainty is the heightened challenge of executing a financing in the midst of an election year, where initial public offering (IPO) activity and appetite for risk tend to diminish, particularly in a politically-charged vertical such as healthcare.
The Westwicke Blog is designed to deliver information and insights into the ever-changing world of healthcare communications.
Scan the pages of the news and you’ll likely see stories of failed IPOs. Despite fast growth, some companies that go public are plagued by poor preparation and questionable business models. But completing an initial public offering (IPO) is a significant decision for your healthcare company and will transform the way you do business. As the largest healthcare-focused investor & public relations firm in the U.S., our team has handled countless healthcare IPOs. As a result, we’ve witnessed wins and successes as well as IPO mistakes companies make in their quest to go public. If you’re running a company that’s growing fast, avoid these big mistakes as you look to go public.
Drawing investor attention can pose a challenge, even for companies with groundbreaking, new science. In a space teeming with competition, it’s vital that emerging biophama companies developing innovative therapies also establish strong messaging to reach and intrigue potential investors.
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.
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?
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.
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.
We are regularly asked to characterize the market backdrop for potential life sciences IPOs. While biotech ETF performance can offer a glimpse at current conditions, we dug deeper and analyzed recent biopharma index strength, IPO activity and follow-on offerings, among other metrics.
Our analysis indicates the market remains strong, albeit with some signs of moderation.
An initial public offering marks an important milestone in a company’s journey — a positive one, assuming the process is meticulously designed and implemented. Errors in planning and communication, however, can turn a vital Wall Street debut into a credibility-damaging flop.
Unfortunately, there’s no shortage of examples of IPOs gone wrong. One case of fairly recent vintage: meal-kit delivery service Blue Apron.
Completing a successful IPO is a major milestone in the life of a company. Deciding to embark on the journey to public markets is an exciting time, but it’s essential to ensure that your company is ready. Once the process kicks off, there’s no time to go back and complete important tasks — like meeting with institutional investors and finalizing your company message — that should have been done prior to your organizational meeting. This is when you’ll discuss your offering process with management, counsel, and other advisors.
A false start can significantly damage your company’s credibility on the Street. So how do you know if your company is ready? We’ve compiled a list of six key questions to consider that will help you evaluate whether your company is ready for an IPO.