The road to becoming a listed company: step by step

Becoming listed is also a company’s seal of quality as the listing places high demands on the company’s provision of information to the market and increases its transparency. This can also help raise awareness of the company and its products or services. Regardless of why a company chooses to list its shares, the IPO process will be relatively long and resource-intensive for the company. This is why it is important for the company to start preparing its IPO process well in advance and to start allocating sufficient resources for the project.

Below is a brief description of what an IPO process may look like.

START

The company is evaluating its interest in – and the possibility of – carrying out a listing and adopting preparatory measures (e.g. a pre-IPO/IPO readiness assessment)

1.

Adviser(s) are chosen

Initial meeting with the stock exchange/marketplace

Exchange auditor/certified advisor/mentor is chosen and its review process initiated

2.

Review of the organisation, including financial reporting, disclosures to the market and corporate governance, and adaptations to meet the listing requirements

The due diligence process begins

Work with a prospectus/company description/information memorandum

Euroclear affiliation begins (if the company is not already a VPC-affiliated company)

3. 

Efforts involving analysis, pricing/valuation and initial marketing

4.

The due diligence process is completed

Discussion with FI regarding approval/registration of the prospectus

Translation and layout of prospectus (if relevant)

Decision on and application for listing

5.

The stock exchange approves the company’s listing application

Prospectus sent to FI for final approval/registration

Printing of the prospectus

Road shows for investors

Notification period

6.

Decision on share price

Subscription

Allotment

First day of trading

GOAL

Congratulations on your IPO!