Presentation on the Initial Public Offering Process by Joel Dibeton, Johan Hellman, Jean Lemercier. GIves an overview of the different steps, stakeholders and regulatory constraints, as well as a real life example with the Facebook case.
Startup Exit Strategy: Why, when, and how to sell your technology startup to an acquirer. Discusses Lean Startup + Early Exit model. Tips for early stage M&A, exit planning, and doing the deal.
Introduction to Venture Capital and Private Equityguest89b446
I was invited to speak at the HR College of Commerce in Mumbai today as part of their "Corporate Dialogue" lecture series. This deck introduces freshman and sophomore students in commerce, economics and finance to venture capital, private equity and entrepreneurship. It also presents a primer on career options in finance for college graduates in India.
What Is Private Equity?
Private equity refers to firms that put big chunks of cash from sources such as pension funds or endowments into buying not publicly traded and (often) faltering businesses or assets and selling them for a profit. Private equity invests in a wide variety of industries. It is an asset class consisting of equity securities and debt in operating companies that are on a stock exchange. A private equity investment will generally be made by a private equity firm, a venture capital firm or an angel investor.
Just over six years after the Dodd-Frank Act became effective, private equity firms impacted by the law could get some relief if a bill they’ve championed makes it through an upcoming vote in the House of Representatives. (September, 2016).
After the 2008 financial crisis, private equity took a hit from federal regulators. Beforehand, they faced little oversight. Afterward, they suddenly found themselves with a bunch of new regulatory exams and reporting obligations. While they can play some risky games PEs aren’t as regulated as your normal bank.
PE firms make money off of deals by taking 2 percent of the money it manages and a 20 percent (commission) of the profits above a certain baseline.
What Is Dodd-Frank?
Dodd-Frank was a Wall Street reform bill that was thought up after the 2008 financial crisis to try and avoid a repeat of that disaster. It was the first major change to federal financial regulations in the United States since reforms that came just after the Great Depression.
While it had plenty of critics, it has been championed by many who point out that it succeeded in at least some ways. The SEC reportedly has been taking action against private equity firms lately, including at least one crack down on an adviser who decided not to register as a broker (brokers with more than 15 clients need to register). That case was settled.
Opponents of the House bill point to those successes as reason to keep the rules how they are and not to loosen them.
What Does This New Bill Do?
OK, so it isn’t a repeal of Dodd-Frank, but it does loosen requirements for private equity firms when it comes to what information they have to provide to the SEC. That includes, most importantly, loosened rules for reporting what types of commodities the firms are buying and who is running the show as an adviser.
Startup Exit Strategy: Why, when, and how to sell your technology startup to an acquirer. Discusses Lean Startup + Early Exit model. Tips for early stage M&A, exit planning, and doing the deal.
Introduction to Venture Capital and Private Equityguest89b446
I was invited to speak at the HR College of Commerce in Mumbai today as part of their "Corporate Dialogue" lecture series. This deck introduces freshman and sophomore students in commerce, economics and finance to venture capital, private equity and entrepreneurship. It also presents a primer on career options in finance for college graduates in India.
What Is Private Equity?
Private equity refers to firms that put big chunks of cash from sources such as pension funds or endowments into buying not publicly traded and (often) faltering businesses or assets and selling them for a profit. Private equity invests in a wide variety of industries. It is an asset class consisting of equity securities and debt in operating companies that are on a stock exchange. A private equity investment will generally be made by a private equity firm, a venture capital firm or an angel investor.
Just over six years after the Dodd-Frank Act became effective, private equity firms impacted by the law could get some relief if a bill they’ve championed makes it through an upcoming vote in the House of Representatives. (September, 2016).
After the 2008 financial crisis, private equity took a hit from federal regulators. Beforehand, they faced little oversight. Afterward, they suddenly found themselves with a bunch of new regulatory exams and reporting obligations. While they can play some risky games PEs aren’t as regulated as your normal bank.
PE firms make money off of deals by taking 2 percent of the money it manages and a 20 percent (commission) of the profits above a certain baseline.
What Is Dodd-Frank?
Dodd-Frank was a Wall Street reform bill that was thought up after the 2008 financial crisis to try and avoid a repeat of that disaster. It was the first major change to federal financial regulations in the United States since reforms that came just after the Great Depression.
While it had plenty of critics, it has been championed by many who point out that it succeeded in at least some ways. The SEC reportedly has been taking action against private equity firms lately, including at least one crack down on an adviser who decided not to register as a broker (brokers with more than 15 clients need to register). That case was settled.
Opponents of the House bill point to those successes as reason to keep the rules how they are and not to loosen them.
What Does This New Bill Do?
OK, so it isn’t a repeal of Dodd-Frank, but it does loosen requirements for private equity firms when it comes to what information they have to provide to the SEC. That includes, most importantly, loosened rules for reporting what types of commodities the firms are buying and who is running the show as an adviser.
Does VCs really add value? This is a study about the venture capitalist’s value-add. By Carl Fritjofsson (Creandum) and Henri Deshays (NewFund) in collaboration with Kauffman Fellows.
How do you value a pre-revenue startup?
This is an introduction to some of the methods that are typically used to value a startup, detailing what is important to establish before carrying out a valuation and how it relates to the chosen fundraising strategy and your local market.
Study of REITS (Real Estate Investment Trusts) and its prospect in India: Studied REITS in US, UK, Singapore and Hong Kong; its evolution in India and its pros and cons. Concluded that India is a conducive environment for REITS.
"You can download this product from SlideTeam.net"
Use our content ready Strategic Portfolio Management PowerPoint Presentation Slides to showcase assets management of various securities in order to meet Investment goals. Investment management strategy PowerPoint complete deck comprises of professional slides such as objectives of portfolio management, types of investments, market scenario overview, investment instruments, securities portfolio, analysis and valuation of equity securities, industry analysis PESTEL, SWOT analysis, discounted cash flow method, financial statement analysis, company cash flow statement, investment in special situations, fixed income and leveraged securities, bond valuation system, reinvestment risk table, type of convertible securities, options analysis, warrants summarization overview, derivative products, put and call options, stock index futures and options, stick indexes comparison table, broaden the investment perspective, international security market highlights, global market trends, mutual funds investment criteria overview, investment in real estate, diversified real estate classification, KPIs and dashboards etc. Download investment portfolio management PPT visuals to analyze risk and return on investment. https://bit.ly/3sauHXW
Key Takeaways:
- Meaning of SPAC and its History
- Process and Perspective of US Concentric SPAC IPOs
- Study of Pershing Square Tontine Holdings SPAC IPO
- SPACs in Other Jurisdictions
The Initial Public Offering (IPO), Why do companies go public, Mergers and acquisitions, Expensive, Reporting responsibilities, Loss of control,Private Placement.
REIT simply implies trading dematerialized real estate. REIT exists in most countries of the world, its a great way of optimizing real estate investment and maximize wealth. REIT was legalized in India in 2013. SEBI is its regulator and the coming times will tell the tale of REIT in India.
Building An IPO Project Management Team gunner2000
Have you given thought to some of the general considerations such as does your company has the “right” stuff? Is your company adequately equipped to meet the ongoing obligations of being a public company? The IPO exercise is a time-consuming and costly exercise requiring a considerable amount of resources and understanding the key factors of a successful listing will help ensure a smooth IPO.
Does VCs really add value? This is a study about the venture capitalist’s value-add. By Carl Fritjofsson (Creandum) and Henri Deshays (NewFund) in collaboration with Kauffman Fellows.
How do you value a pre-revenue startup?
This is an introduction to some of the methods that are typically used to value a startup, detailing what is important to establish before carrying out a valuation and how it relates to the chosen fundraising strategy and your local market.
Study of REITS (Real Estate Investment Trusts) and its prospect in India: Studied REITS in US, UK, Singapore and Hong Kong; its evolution in India and its pros and cons. Concluded that India is a conducive environment for REITS.
"You can download this product from SlideTeam.net"
Use our content ready Strategic Portfolio Management PowerPoint Presentation Slides to showcase assets management of various securities in order to meet Investment goals. Investment management strategy PowerPoint complete deck comprises of professional slides such as objectives of portfolio management, types of investments, market scenario overview, investment instruments, securities portfolio, analysis and valuation of equity securities, industry analysis PESTEL, SWOT analysis, discounted cash flow method, financial statement analysis, company cash flow statement, investment in special situations, fixed income and leveraged securities, bond valuation system, reinvestment risk table, type of convertible securities, options analysis, warrants summarization overview, derivative products, put and call options, stock index futures and options, stick indexes comparison table, broaden the investment perspective, international security market highlights, global market trends, mutual funds investment criteria overview, investment in real estate, diversified real estate classification, KPIs and dashboards etc. Download investment portfolio management PPT visuals to analyze risk and return on investment. https://bit.ly/3sauHXW
Key Takeaways:
- Meaning of SPAC and its History
- Process and Perspective of US Concentric SPAC IPOs
- Study of Pershing Square Tontine Holdings SPAC IPO
- SPACs in Other Jurisdictions
The Initial Public Offering (IPO), Why do companies go public, Mergers and acquisitions, Expensive, Reporting responsibilities, Loss of control,Private Placement.
REIT simply implies trading dematerialized real estate. REIT exists in most countries of the world, its a great way of optimizing real estate investment and maximize wealth. REIT was legalized in India in 2013. SEBI is its regulator and the coming times will tell the tale of REIT in India.
Building An IPO Project Management Team gunner2000
Have you given thought to some of the general considerations such as does your company has the “right” stuff? Is your company adequately equipped to meet the ongoing obligations of being a public company? The IPO exercise is a time-consuming and costly exercise requiring a considerable amount of resources and understanding the key factors of a successful listing will help ensure a smooth IPO.
The presentations content includes an update on the IPO market; legal and accounting best practices in preparing for an IPO, and insights from finance professionals who have executed successful IPOs along with firms that assist companies in optimizing their IPO opportunities.
This has been prepared a business coach who gives finance training to corporate. This is for a more informal set up/ audience as it includes more colors, themes, images and less of text.
Know how venture capitalists value your deal....understand how they are compensated...see what creates value and how investors assess your "risk factors."
A great slide show presentation that provides solid answers to many of these essential questions Check out mikeklein2010.wordpress.com
Similar to Corporate finance the Initial Public Offering process (20)
Business Plan - Sony in chile Jean Lemercier & Cécilia Cosnard des ClosetsJean Lemercier
Business plan for a possible investment in Chile from Sony's Corporation by Cécilia Cosnard des Closets & Jean Lemercier. This report discusses the interest Sony could have in selling/manufacturing its IJ1000IM Energy storage module in Chile, a country facing daunting energy challenges.
Southwest Financial note by - Jean Lemercier, Cécilia Cosnard des Closets, Charline Poher, Derek Fleck and Violaine Lièvre. Including risk assessment, peers comparison, internal financial analysis and environmental analysis.
how to swap pi coins to foreign currency withdrawable.DOT TECH
As of my last update, Pi is still in the testing phase and is not tradable on any exchanges.
However, Pi Network has announced plans to launch its Testnet and Mainnet in the future, which may include listing Pi on exchanges.
The current method for selling pi coins involves exchanging them with a pi vendor who purchases pi coins for investment reasons.
If you want to sell your pi coins, reach out to a pi vendor and sell them to anyone looking to sell pi coins from any country around the globe.
Below is the what'sapp information for my personal pi vendor.
+12349014282
how to sell pi coins in Hungary (simple guide)DOT TECH
If you are interested in selling your pi coins, i have a verified pi merchant, who buys pi coins and resell them to exchanges looking forward to hold till mainnet launch.
Because the core team has announced that pi network will not be doing any pre-sale. The only way exchanges like huobi, bitmart and hotbit can get pi is by buying from miners.
Now a merchant stands in between these exchanges and the miners. As a link to make transactions smooth. Because right now in the enclosed mainnet you can't sell pi coins your self. You need the help of a merchant,
i will leave the what'sapp contact of my personal pi merchant below. 👇
+12349014282
when will pi network coin be available on crypto exchange.DOT TECH
There is no set date for when Pi coins will enter the market.
However, the developers are working hard to get them released as soon as possible.
Once they are available, users will be able to exchange other cryptocurrencies for Pi coins on designated exchanges.
But for now the only way to sell your pi coins is through verified pi vendor.
Here is the what'sapp contact of my personal pi vendor
+12349014282
Yes of course, you can easily start mining pi network coin today and sell to legit pi vendors in the United States.
Here the what'sapp contact of my personal vendor.
+12349014282
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What price will pi network be listed on exchangesDOT TECH
The rate at which pi will be listed is practically unknown. But due to speculations surrounding it the predicted rate is tends to be from 30$ — 50$.
So if you are interested in selling your pi network coins at a high rate tho. Or you can't wait till the mainnet launch in 2026. You can easily trade your pi coins with a merchant.
A merchant is someone who buys pi coins from miners and resell them to Investors looking forward to hold massive quantities till mainnet launch.
I will leave the what's app number of my personal pi vendor to trade with.
+12349014282
2. Elemental Economics - Mineral demand.pdfNeal Brewster
After this second you should be able to: Explain the main determinants of demand for any mineral product, and their relative importance; recognise and explain how demand for any product is likely to change with economic activity; recognise and explain the roles of technology and relative prices in influencing demand; be able to explain the differences between the rates of growth of demand for different products.
how to sell pi coins in South Korea profitably.DOT TECH
Yes. You can sell your pi network coins in South Korea or any other country, by finding a verified pi merchant
What is a verified pi merchant?
Since pi network is not launched yet on any exchange, the only way you can sell pi coins is by selling to a verified pi merchant, and this is because pi network is not launched yet on any exchange and no pre-sale or ico offerings Is done on pi.
Since there is no pre-sale, the only way exchanges can get pi is by buying from miners. So a pi merchant facilitates these transactions by acting as a bridge for both transactions.
How can i find a pi vendor/merchant?
Well for those who haven't traded with a pi merchant or who don't already have one. I will leave the what'sapp number of my personal pi merchant who i trade pi with.
Message: +12349014282 VIA Whatsapp.
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Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...Quotidiano Piemontese
Turin Startup Ecosystem 2024
Una ricerca de il Club degli Investitori, in collaborazione con ToTeM Torino Tech Map e con il supporto della ESCP Business School e di Growth Capital
Lecture slide titled Fraud Risk Mitigation, Webinar Lecture Delivered at the Society for West African Internal Audit Practitioners (SWAIAP) on Wednesday, November 8, 2023.
where can I find a legit pi merchant onlineDOT TECH
Yes. This is very easy what you need is a recommendation from someone who has successfully traded pi coins before with a merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi network coins and resell them to Investors looking forward to hold thousands of pi coins before the open mainnet.
I will leave the what'sapp contact of my personal pi merchant to trade with
+12349014282
2. www.company.com
What are the main goals of an IPO and the stock
market?
To guarantee access to capital market
Externalize the debt
To ensure investors are willing to buy stocks at the highest possible value
Do these statements agree with your company’s IPO
decisions
Important or very
important (%)
The IPO acts as advertising for the
company and increases its
reputation/image
83,11
Making the IPO, we believed it was
the best time to do it
72,73
The IPO is a normal « stage »in the
growth of a company
68,83
The IPO has allowed your company
Important of very
important (%)
To increase financial flexibility 75,32
To make the firm’s share more liquid and
to increase the firm value
75,32
To finance investment opportunities 73,33
BancelF., Mittoo U., « Why do European firms go public? », European Financial Management september 2009, vol. 15
3. www.company.com
Pros and cons of an IPO
Advantages of an IPO
For the company :
Attractiveness of new partners
Financial gains (capital raising, new
debt management possibilities …)
Quality label, reassures investors
For minority shareholders
Access to liquidity and to information
Protection of its interests
Dividend policy
For majority shareholders
Benefits from liquidity without loosing
power
Can bring out undesirable minority
shareholder
Disadvantages of an IPO
The strategy has to take into account
financial parameters
More transparency and communication
constraints
Public companies tend to invest less than
unlisted companies. They are less reactive
to new investment opportunities
4. www.company.com
Regulatory constraints
Financial transparency
Mandatory and voluntary disclosures
End of business confidentiality
Accounting constraints
Consolidated financial statements under IFRS rules
Impairment tests
Questions from the market
Activity, results, perspectives, management, shareholder compensation
Lock-up for historical shareholders
Reduces risk of overhang
6. www.company.com
Advisory Banks
Goal
Structuring of the operation
Link between the market and the company
Reputation and assessment
Relationship of trust between the investors and the bank
Credibility of price
Banking syndicate
Each advisory bank has it own role
Global co-ordinator, bookrunner, co-lead managers, co-managers
8. www.company.com
Different listing markets (France)
Euronext Eurolist Alternext Marché libre
Types Blue chips and
average values
SMB / SMI Small companies
Nature of the
market
Regulated Non-regulated /
« Régulé »
Non-regulated /
Organized
Application Issuer Issuer Issuer or
shareholder
Size box (Millions €) A : Capi>1000 ; B :
150 <Capi<1000 ; C
: Capi<150
None None
Nature of the
introduction
IPO IPO, private
placement, direct
admission
IPO, private
placement
9. www.company.com
Choice of the operation
Primary transaction
Capital increase
Secondary transaction
Transfer of shares
Mix
How to choose :
Will to monetize all or a part of their participation
Need of funds to finance growth or to reduce the debt
Need to offer enough share to ensure liquidity
10. www.company.com
Other forms of IPO
Dual track
Same process as an IPO but enables the possibility to stop the process and
replace it with a private divestment
Permits to choose the best solution in terms of price
Mainly done for LBO or family companies
Equity carve out
Parent company decides the pricing of an subsidiary
Refocusing on core activity. Externalize the hidden value of the subsidiary
11. www.company.com
Costs incurred during an IPO
Costs from structural factors (size, method used, type of market…) and from
subjective factors (communication, providers…)
Legal costs (AMF fees, admission and publication costs…)
Roadshows (hotel, plane), meetings
Estimated between 2% and 4% of the total cost (without banks)
12. www.company.com
The stakeholders in the IPO process
Investment banks : acting as underwriters, they price the security and market it to
investors
The Security Exchange Commission (SEC, AMF for France) : Monitors the IPO
(legal aspects, compliance and accuracy of statements)
Lawyers : Due diligence work, prepare the documents for the legal authorities (SEC,
NASD..)
Auditors : Help the CFO address accounting issues, prepare the financial disclosures
needed in the prospectus
13. www.company.com
The IPO process – Preparatory work phase
The Kick-Off meeting (auditors,bankers,lawyers and company management)
Determining the roles of each party (lead manager,co-manager..) as well as the timing
Beginning of the due diligence – Customer Calls/Suppliers, Industry/market, Legal
(registration and contracts), Financial due diligence
Decide between underwriting and best effort basis
IPO pitch
In depth analysis of the company and its position within the market, competitive advantage(s)
Valuation (DCF,comparables..)
S-1 Filling for the SEC (AMF prospectus)
14. www.company.com
The IPO process – Pre-Marketing phase
The pre-IPO analyst meeting (Warm-Up meetings)
The team highlights the strengths of the company to analysts and other banks/institutions
Issue a red-herring (preliminary prospectus, usually without pricing) and present the “Equity
Story”
The team compiles feedback from Investors and the price they are prepared to pay for the
company
SEC (AMF) gives feedback regarding the S-1/AMF prospectus previously sent
15. www.company.com
The IPO process – Marketing phase
Road-shows and One to One meetings
Management travels to major financial cities and market the company for 1-2 weeks
S-1 form is amended and the final marketing documents are ready (forecasts, statements)
The lead manager begins the book running (5 to 15 days) – taking orders from clients to
estimate demand – with a fluctuation of +/-20% from the company’s estimated value
Official announcement for the closing of the order book
16. www.company.com
The IPO process – Share Allocation phase
Fixation of the price (given investors’ demand)
If the deal is over-subscribed (“too much” demand), the banks will price the company at the
high end of the range (opposite for under-subscribed IPOs)
Tend to leave “some money on the table” for the stock to rise on its first days of trading
The book runner and the company allocate shares to investors
Favour investors based on geographical location/investment objectives (repartition between
short/medium and long term)
The objective is to keep the share price stable for the post IPO period (1month)
Banks tends pushes to favour its most profitable clients to maximize profits
At this point, 80 to 90% of the company floating is allocated in the market
17. www.company.com
The IPO process – Trading phase
The 10 to 20% capital remaining is allocated to individual investors on the market :
Floating price (Banks fixes the price after registering orders on the trading system)
Fixed price (same as the previously fixed price)
Trading begins..
18. www.company.com
IPO risks
The underwriters :
Counterparty risk (if the investors don’t want the security any longer after their order)
Losing their clients if the security is overvalued
The company
Raising less capital than expected in an adverse market situation
The Investors
Buying an overvalued security
19. www.company.com
Greenshoe/Over-allotment Option
Aim is to stabilize the price during the post IPO period (<30days)
This gives the underwriter the right to sell 15% more shares than planned (the
company lends 15% to the underwriter)
Two scenarios :
The price of the security falls
The underwriter does not exercise the option – buys the securities (15% max) in the
market to limit the decrease – and gives back the shares to the company.
The price of the security increases
The underwriter exercise the option – buys the securities (15% max) from the company
24. www.company.com
The Deal… a flop
The earnings guidance and disclosure issues
Morgan Stanley achieved full value for FB
Price range: [$34-$38] High end
First day support to stock: estimated $2bn
Spectacular demand due the to secrecy