1 to 24 months post-IPO: the real work of being a public company begins.
Attracting the right investors and analysts
At first, many newly public companies enjoy high share prices fuelled in part by investors' interest in IPOs and by the press coverage for such companies.
However, unless the market's interest in the company is carefully maintained after the IPO, the initial euphoria will quickly fade. The trading volume and value of the company's shares will also decline.
You must have an aftermarket strategy. Once the IPO is over, the process of retelling and fine-tuning the company's equity story begins.
You must develop a proactive investor relations strategy that will attract the optimal ownership mix and long-term pipeline in the aftermarket. Successful executives target the type of investor that will maximize liquidity and valuation.
Step 10: Delivering on your promises
Once your company goes public, the real work of running a newly public company begins. You must meet or beat the expectations that you set.
Market leaders deliver the post-IPO shareholder value promised to stakeholders by demonstrating operational excellence. This means executing on your business plan, meeting financial targets consistently and attracting the right investors.
Your company needs to deliver on your promises for growth, shareholder value and share price appreciation.
- Have you prepared a long-term plan for growth and shareholder value?
- Are you using the proceeds of your IPO to fund growth?
- Do you have a long-term plan for managing post–IPO risk and regulatory compliance?
<< Previous - Next >>