Crypstone Capital acts as an independent advisor to your company, where our interests are fully aligned with yours.
From the selection and management of underwriters to the negotiation of their fees to interactions with legal counsel and auditors, we act as your trusted, expert advisor in all aspects of pre and post-IPO planning, support & funding.
Our financial advisory services team also acts as your in-house corporate finance team, highlighting the issues, assisting with the group restructuring, prepare presentation of financial information and forecasts to relevant parties and advisors.
Why Crypstone Capital?
Crypstone Capital is a strategic IPO advisory firm that helps private companies pursue Initial Public Offering (IPO) in various markets across the globe. Our comprehensive IPO advisory services provides end-to-end, turn-key solutions and strategies through the IPO process, with tools and methodologies to help companies through corporate & investor fronts.
Over the years, Crypstone Capital has an established and trusted network of professionals and advisors to provide a seamless, successful solution to private companies looking to go public in various markets across the globe. Our dedicated and highly experienced team is able to manage the IPO process from start to completion, and followed by post-IPO functions.
Benefits of Public Listing / Initial Public Offering (IPO)
Access to Capital – by listing your company, you will have access to global capital to meet your company’s expansion plans and goals.
Facilitate Growth – With greater access to capital, your company has the potential to acquire other companies or businesses to grow. You will also have the capability to offer shares as currency to facilitate your acquisition and growth strategies.
Enhance Credibility, Profile and Visibility – As a listed entity, your company will generally be perceived more positively in terms of its financial and business strength when compared with being a privately held one.
Incentive to Employees – A listing can involve shares being allocated to employees to align the interest of your employees with the goals of your company.
Increased Valuation – Typically publicly traded companies enjoy substantially higher valuations than private companies. The creation of a public market creates liquidity in the shares of your company. This can help broaden the shareholder base while enabling existing investors such as venture capitalist or other owners to realise the value of their investments.
Generally, a company should have the following attributes for listing on stock exchange:
- Identifiable Core Business. A company that has majority ownership and management control of an identifiable core business, which is the principle source of operating revenue or after-tax profit. A core business premised on owning investments in other listed corporations or businesses will not qualify.
- Good Management. A company that is effectively managed by capable people in terms of experience and qualification with management continuity well in place.
- Strong Business Prospects. A company that is involved in a growth industry, possessing sizeable brand equity and market share, making inroads against its competitors and having a core business that is well positioned to reap returns.
- Healthy Financial Position. A company with positive cash flow from operating activities as well as sufficient working capital for at least 12 months.
- Good Corporate Governance. A company with strong corporate governance policies and practices.
- Minimum Public Spread. A company must be a Public Limited and have above certain number of shareholders
A company looking to raise interest-free capital from the public by listing its shares has two options—the standard and popular IPO (Initial Public Offering) process or the direct listing process – DLP.
With IPOs, the company uses the services of intermediaries called investment bankers, underwriters, who facilitate the IPO process and charge a fees an commission for their work.
Smaller companies or startups that want to do a public listing may need a more affordable option than hiring expensive underwriters. They often choose the direct listing process, a less-expensive option than an IPO.
DLP is also known as Direct Placement, or Direct Public Offering – DPO. In this process, the company sells shares directly to the public without getting help from intermediaries.
Key Elements of a Successful Listing:
- Getting a valuation that best serves the business owners’ goals and their investors.
- Raising the required amount of funds.
- Gaining broker support for the listing and the ongoing market.
- A rising share price after listing.
- It is important to get the investment strategy right so that there is interest in the ongoing growth of the company from investors and the broking community.
How CAPITAL help You to Achieve a Successful IPO / Public Listing
Going public is a powerful tool if used properly. As a public company you gain a great deal of prestige and credibility that you don’t have as a private company. This prestige and credibility increase your company’s valuation tremendously and can make it easier to raise capital.
Pre-IPO analysis on your Company financial performance, assessment on quantitative and qualitative test, highlight all compliance issue and recommend provisions.
Setting financial road map, implement and monitoring.
Identify a suitable market to list, for example Bursa Malaysia Ace Market, Singapore SGX Catalist, Hong Kong GEM, Australia NSX / ASX, London AIM, US OTC Market , Nasdaq – best for the client’s industry and file for initial public offerings to general market or via placement.
Pre-IPO fund raising to fund the listing expenses and working capital to increase the company’s bottom line, hence it’s share offering price.
Private Placement. We introduce our clients to our vast network of investment funding sources, institutional funds, and investment banks. Most investment banks and funds will not invest in private companies.
Going public gives you access to public capital. Raising money as a public company is a much better deal because of the higher valuation the public company usually receives. > More information about IPO / Public Listing
- Leading the IPO Committee
- Structuring the IPO process and business organisation
- Manage the due diligence
- Work with the bankers on roadshows and fund raising activities
- Working with the professionals to produce and lodge the prospectus
- Plan and prepare investor relations programmes
- Advise on post-IPO activities
> Frequently Asked Questions about Public Listing / IPO click here