Initial Public Offerings (IPO) Overview
The complexities and global nature of modern day organizations require optimum sources of capital to grow, enhance business performance and shareholder value. An Initial Public Offering (IPO) is seen as an excellent route to accelerating growth. It is essential that organizations understand the new ongoing responsibilities and expectations, as well as the short-term process of how and when to list and at what price.
Why Taking Your Company Public?
The advantages of a public listing include:
- Establishing a foundation for your company to raise additional capital in the future either through a further issue of shares or other financial instruments
- Enhancing your company’s corporate image and marketability
- Providing the opportunity to use your shares as a currency in a merger or an acquisition
- Achieving a much higher degree of liquidity for your investment in the company
While a public listing provides numerous advantages, it does come with greater responsibilities.
You will need to comply with regulatory requirements and practice good corporate governance.
A successful IPO needs a strong foundation:
K-Konsult can assist in:
- Pre-IPO review in assessing suitability for a floatation exercise.
- Co-ordinating the work of other advisers such as legal advisers, underwriters andmerchant bankers.
- Nurturing organizations for successful IPO.