Strategy for preparing for an IPO roadshow

Tedypendah's picture
Rank: Orangutan | banana points 327

Hi all, we are listing a Special Purpose Acquisition Company (SPAC) that focuses 100% on Mining companies. The model is simply a listed PE/VC firm.

About the Road-show:

  1. Portfolio: Quarry Projects, Coal, Diamonds
  2. Size: 500 Million
  3. Standard: Biggest IPO after a 462 Million one
  4. Countries of roadshow; South Africa, Botswana, Lesotho, USA
  5. Objective: Private Placement before IPO
  6. Strategy: solicit subscription letters and letters of intent
  7. Company base: Botswana
  8. Per country objectives:
  • Botswana: will be funding projects there looking for local investors (Last biggest IPO in Botswana raised 90% of 462 Million from the retail market)
  • South Africa: Looking for investors with an appetite for Africa**
  • Lesotho: will be funding projects there as well, looking for investors with an appetite for a listed asset in Africa
  • USA: anything specific on how we can reach out or contacts will be highly helpful. Looking for investors with an appetite for a listed asset in Africa

**In South Africa, places in Africa outside South Africa are referred to as "Africa"

Any advice of how we can get the most out of this? What do investors want to hear? Please feel free to rip me apart

Comments (3)

Jul 26, 2017

I'm on the DCM side not the ECM side, but I can still give a decent perspective on how marketing this issue is going to go. Just to start, it's going to be fucking rough. No one in the US is going to want to buy into the equity of a company in a developing country. Probably your biggest challenge is going to be finding someone that will underwrite this issue, because from an underwriters perspective this isn't really an issue worth taking a risk on. A. Non-American companies are sketchy in the eyes of US investors and B. I believe the mining industry is even riskier. So I'm not really sure how you plan to Market your offering to investors and potential underwriters. How are you going to put this capital to work? What's your EBITDA as is? What's the turn around on constructing capital mining facilities? Where's the market in Africa heading?These are just a few questions any underwriter worth their salt is going to ask. Have a plan and projections for everything they could potentially ask.

Jul 27, 2017

Find the link below to the brief Memo, we are going to add more details for the prospects but our target IRR is > 20% and the 2xMoM after 3 years. The Memo includes an outlook for all minerals.

https://www.wallstreetoasis.com/forums/please-rip-...

Jul 29, 2017
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