9:30 a.m. Pacific standard time
Building a world class finance function
Building a world class finance function
Long-term view, employees key to finance function
Plan ahead, take the long view, and don’t forget the importance of employees throughout the IPO process.
Those directives are from the panel discussion “Building a world-class finance function.” Moderated by Will Bowmer, Managing Director of Barclays, the panel gathered C-suite executives and IPO advisors to offer ways to advance your finance function.
The CFO’s role throughout the IPO process is critical, but ensuring the accuracy of the numbers is only the beginning. The CFO is also responsible for leading internally and for being an experienced, credible public face for finance.
It can take a year or more to get yourself and your team ready for the spotlight. Given the pressure you may be facing, make sure you have alignment with the board about a reasonable IPO time frame, shared Barry Zwarenstein, CFO of Five9, Inc.
Afterward, panelists agreed you should take the long view. “The IPO is not an objective of itself, but it’s an instrument,” said Martín Migoya, CEO of Globant. “When you start thinking like that, then putting the company together around that concept makes it easier.”
Michael B. Capilouto, Partner, Ernst & Young LLP, also said not to make employees an afterthought. Prospective investors will want to know how your company will incentivize employees to stay with the company. In addition, good communication can help employees understand stock price fluctuations.
“Changing the mentality to become a public company is really becoming more buttoned up,” said John Castro, the recently retired Chairman and CEO of Merrill Corporation. “It takes everyone in the organization to really understand that.”
Will Bowmer is a managing director at Barclays and Head of the bank’s Technology, Media and Telecommunications – Equity Capital Markets Group. Based in Menlo Park, California, Mr. Bowmer has over 20 years of experience originating and executing capital markets transactions for companies in Silicon Valley and around the world. Previously, Mr. Bowmer was based in Hong Kong and Tokyo for 14 years. During that time, he ran Lehman Brothers’ Equity and Debt Capital Markets businesses for all of Asia. Mr. Bowmer began his career in New York as an attorney at Skadden, Arps, Slate, Meagher & Flom, where he specialized in corporate finance and mergers and acquisitions.
Michael B. Capilouto
Ernst & Young LLP
Michael B. Capilouto is the Transaction Accounting and Private Equity Leader for Financial Accounting Advisory Services (FAAS) at Ernst & Young LLP. Advising on a wide range of capital markets transactions, including IPOs, debt offerings and carve-out/spin-off transactions, Mike helps enterprises execute complex transactions that unlock and enhance value. With his up-to-date knowledge, experience and regulatory insight, Mike identifies important questions early and finds the right answers quickly, helping clients to get in front of the deal. Mike works with clients in many sectors, including pharmaceuticals, consumer products, retail, technology and telecommunications.
Recently Retired Chairman and CEO
John Castro, retired Chief Executive Officer of Merrill Corporation, joined the company in 1978. During his tenure he held several positions and has served on Merrill’s Board of Directors since 1981. As CEO, Mr. Castro led Merrill’s growth into an international company and one of the largest global technology-enabled document service providers, trusted by clients to manage complex, confidential and regulated information. He successfully led the company’s IPO in April of 1986 and took the company private in November 1999. Mr. Castro also serves on the Board of Directors of Securian Financial.
Martín Migoya co-founded Globant and has served as Chairman and CEO since 2005. He has transformed the company from a small start-up into an innovative software products multinational with a presence in the US, UK, Mexico, Colombia, Chile, Brazil and Argentina. Martín has worked in the technology industry for more than 18 years, including as Business Manager at Origin BV Holland and Project Manager at Repsol-YPF. He has been selected for many entrepreneurial honors, including Endeavor, the Konex Award and the EY Entrepreneur Of The YearTM Award. He holds a degree in Electronic Engineering from La Plata University and a Master of Business Administration degree.
Barry Zwarenstein has been CFO of six public companies, taking three public (Five9, VeriFone and Logitech) and played lead roles in the sale of two (SMART Modular Technologies to Silver Lake and Acuson to Siemens). Barry has been Five9’s CFO since January 2012. Since November 2007, he has served on the Board of Directors of Dealertrack Technologies, Inc., a provider of subscription-based software for the automotive retail industry. Barry holds a Bachelor of Commerce from the University of Natal, South Africa, and an MBA from the Wharton School of the University of Pennsylvania. He is qualified as a Chartered Accountant (South Africa).