One of the first things that we are often asked when speaking to prospective clients is “why don’t we have more European participation on our share register?”. It’s a simple question but the answer requires a slightly more complex response.
If you are involved or managing a company that is either private or not listed in the United Kingdom then there are a number of things that you can do to increase investor awareness of your business which, if done in a methodical and professional way should increase the understanding of your business with investors outside of your home market.
The first thing we ordinarily like to do at Stellium is develop a baseline of where your business is today from an IR perspective. This will usually involve comparing your register with those of companies that are in the same peer group. This peer group could comprise companies at a similar stage of development (as the client), involved in a similar field (for example, in the natural resources space, it could be a gold exploration business) or of a similar size. More often than not, the peer group will comprise companies will be a blend of more than one of these factors.
Once a baseline position has been established we can then discuss what the company’s 12–18 month goals might be. What then, are the next steps with respect to how we approach IR? Every client will have different needs and requirements but there are activities that are common to each engagement.