WHY TO ENTER
A STOCK EXCHANGE

There are several reasons why companies go public and list their shares on stock exchanges, but usually, it is because of the need for capital. For instance, a growing company may need additional finances to execute expansion plans, increase costs for research and development or marketing. The listing gives access to capital and raises the company to a new level.

HOW TO ENTER A STOCK EXCHANGE
WITH SWISTBANKERS’ HELP?

If you believe that a stock exchange is a right choice for your company,
then the next step is to contact the SwistBankers team.

Skilled action under the lead of a professional team!

We help the company to undergo the necessary changes before listing on the stock exchange, and we also help to prepare the required documentation. Steps to take to enter the Baltic stock exchange:

  • Discussion with the advisor to assess your company’s suitability for being traded on the market.
  • Initiating contracts with the advisor.
  • Stockholders’ decision regarding the additional issue (if necessary).
  • Application and company description or preparation of the prospectus with the advisor.
  • Submitting the documentation to the stock exchange.
  • Stock exchange’s decision regarding admission.
  • Signing the contract with the stock exchange.

The application processing time may vary depending on the company and documentation quality, but usually, the decision is made in three weeks. It is necessary to consider that generally, the company must be restructured, and its financial structure must be adjusted to suit a public company.

 

Preparing a company for a stock exchange launch is an extensive and long-term process, its successful outcome depends on the experience of the advisors and their know-how, and completion of this process requires skilled and robust action under the lead of a professional team such as SwistBankers.

ACCESS TO CAPITAL

Listing on a stock exchange gives the company a chance to raise financial means to expand their activities both when conducting the offer when listing and during the possible additional issues organised in future.

CREATING A LIQUID MARKET
FOR COMPANY SHARES

Listing a company creates preconditions that make
trading with the company shares considerably easier.

Make trading with the company shares considerably easier!

During the opening hours of the stock exchange, the investor can immediately buy or sell the securities at the current best price.

Stock exchange trading gives the company founders and investors the option to realise the previous investment with the price valid on the market and use the received resources for new investments elsewhere if needed.

MORE MOTIVATED PERSONNEL

The listing gives the company owners and management board an excellent and flexible chance to create additional incentives and option programmes.

Ensure the employee’s significantly greater motivation and responsibility!

A paid employee entering the circle of owners via the option programme ensures the employee’s significantly greater motivation and responsibility, they become directly interested in continually increasing the company’s value.

A BETTER OPTION FOR THE OWNERS
TO REDUCE THEIR HOLDING

Due to the increased liquidity of the shares, the owners of a listed company can reduce their holding more easily if they should so desire and invest the holdings sold for a reasonable price into new ideas.

RECOGNITION AND ATTENTION

Listing a company increases the company’s recognition
and acquires more media attention and public interest.

Acquire more media attention and public interest.

The required disclosure of financial data accompanying the listing shows the company’s wish to be open, act in the interest of the shareholders and follow sound management principles. Listed companies receive considerably more media coverage and professional analyses than other companies.

ESTABLISHING A LOYAL GROUP OF CLIENTS

Being an investor is one possible way to assist a client: an investor is always interested that the company would do well.

RECOGNITION AND ATTENTION

Listing a company increases the company’s recognition
and acquires more media attention and public interest.

Acquire more media attention and public interest.

The required disclosure of financial data accompanying the listing shows the company’s wish to be open, act in the interest of the shareholders and follow sound management principles. Listed companies receive considerably more media coverage and professional analyses than other companies.

INCREASED EFFICIENCY

During the listing process the company’s activities are analysed (due diligence), the further continuous following of information disclosure rules and the Corporate Governance Code ensure better management for the company.

COMPANY MARKET VALUE FORMATION

Listing company shares in the stock exchange help
the establishment of a fair share price.

Investors’ vision of future possibilities.

Market value reflects the investor’s vision of how well the company is doing in terms of the present economy and in the future. The share price on the stock exchange shows all the events that have happened on the active market until now and which have formed the investors’ vision of future possibilities and market position. At the same time, it is important to also consider that the company value is also influenced by the general conditions of the stock markets and macroeconomics.

RELIABILITY FOR PARTNERS AND CLIENTS

Listing a company means growth in the company’s reliability for partners and clients and also increased transparency, because higher requirements for reporting and business ethics apply for listed companies. Heightened public attention is also a decisive contributing factor.

Making the company activities more transparent and effective!

As an added value, an IPO is also a means of making the company activities more transparent and effective. With an IPO, the company’s business strategy is perfected, the main processes are made more effective and financial procedures are structured and adjusted to suit a public company.

During the IPO process, technical IPO steps are taken and together with the client the stock exchange(s) is/are determined and selected where and on which list the company shares should be listed.

Participating in a roadshow is also essential to introduce the project to potential investors. When a company is listed on a stock exchange, the company share acquires a price provided by the market.

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