1. Capital Markets
What are they looking for from you and your company?

2. It doesnt matter what you think
It doesnt matter what youve said
It matters what the market thinks youve said!
3. How you manage the markets
4. ....because you have:

A visible share price & therefore valuation

5. Large and numerous shareholders 6. No control over who invests 7. To be careful with information disclosure, manner and timing more prescriptive 8. The media who takes a close interest in our news. 9. Analysts who write on your business. 10. Constant Speculation!So you need to manage the market carefully.
You are now or might soon be a publically listed company, so what
11. The market for me consists of two main constituents:

Analysts

12. Investors 13. Institutional & RetailWhat do they do?

Research/recommendations

14. Long/ShortWhat is the market?
15. Opportunity:

For upside & value creation

16. At the right risk/reward ratioDelivery:

Against targets

17. Against expectationsOutperformance!
Most importantly, you must retain their confidence no matter what.
What is the market looking for?
18. Macro economics
Sector economics
Expectations and guidance

Communications.

Actual performance & history
Liquidity
Management/employee & business credibility
What are the key drivers of your share price?
19. We all want our share price to perform well
Avoid getting fixated with daily share price movements
We will always be undervalued in your own eyes, particularly as Directors of the Company!
The share price represents the future not the past
Liquidity is your friend
Everyone has to avoid share price fixation
20. Liquidity helps your share price to best reflect the true value of your business
Low trading volumes put off investors
Free float has to be large enough too
Strong communication with investors and the press create and enhance liquidity
Why is liquidity important?
21. The market is always hungry for news
Feed it only with high quality timely communications
You have to make sure your messaging is consistent
Control the market expectations, dont let them control you
Dont let hype overtake you, performance is the key
Strong and clear communication is vital
22. One additional frequently asked question
23. Should you list in the US?
24. No doubt that US investors are more likely to understand certain business sector better, prime example is technologywhy?

America has more technology companies than Europe

25. Peers largely based in the US 26. Few comparables in UK/EuropeBut is there a valuation gap?

A myth or reality

Valuations, US vs UK?
27. No proof either way, it has swung both ways recently
Historically though, the US market has, on average, traded at a premium to UK

Both across all sectors and specifically for technology stocks

Past 10 years have seen a consistent and steady convergence

Both across all sectors and specifically for technology stocks

In fact in 2009 UK tech stocks traded at a premium to US tech stocks
A myth and a reality!
28. If there is a valuation gap then would a US listing help to close it?
Are US funds put off without a US listing?
Could your employees benefit?
Would it cost you much?
There are however as many arguments for a listing as against
The only real way to know the true benefit would therefore be to get a listing....
Listing Should we have a US listing on NASDAQ?