Targets of IPO Communication
The aim of the initial public offering (IPO) and the accompanying IPO communication is to convince investors of the equity story and thus collect equity capital. By going public, companies are suddenly in the spotlight. But until the first share prices are set on the trading floor and the electronic trading platform, a lot of hard and precise work has to be done: by the company, by the agency accompanying the communications as well as by lawyers and issuing houses.
Mistakes in IPO communication are expensive
Mistakes in IPO communication can have disastrous consequences. The better the equity story is developed and communicated to the capital market, the more successful the IPO will be. Success is measured, among other things, by the inflow of funds – the fresh capital that can be used for the further development of the company.
A balanced shareholder structure after the end of the bookbuilding process should also be viewed as a success. Especially in the first few days of trading, it can have a decisive impact on whether the financial community considers an IPO a success or a failure. A successful IPO therefore has a direct influence on the future prospects of a company in many respects.