Investor relations and IPO communications, in particular, are subject to a strict set of rules, making it all the more important to master mandatory requirements at the same time as freely chosen, individual aspects one wants to stress. This applies to the IR presentation and financial publications as well as to communication with all target groups – from institutional investors and analysts to the financial media and private investors. Only through continuous dialogue with the financial community can management prepare its target groups for future corporate developments, “manage” expectations and thus strengthen its credibility and reputation.
The equity story is the linchpin of investor relations. It should make clear to investors why they should invest their money in a certain company. This includes the convincing presentation of the business model, the distinguishing features (USP’s) and the company’s strategy as well as the preparation of facts relating to market position and competition.
Trust must be earned – not least through continuous and transparent communication. Moreover, investors do not appreciate surprises. Good IR (consulting) always has the expectations of the capital markets in mind and depends on the dialogue with target groups.
The annual report still is the most important business card of the companyNowadays, less is often more. Reduced stock market requirements for quarterly reporting have recently also led to a streamlining of the reports, which in many cases have already resulted in shorter quarterly reports.
The aim of media work is, on the one hand, to make the company and its strengths known, to report continuously and comprehensibly on its development and to shed light on its background. However, on the other hand, it is also a matter of presenting relevant topics or shedding new light on them to highlight one’s competence. Business journalists expect facts and figures, but also pointed views on markets, technologies, and future developments – prepared in such a way that they can use this content for their daily work without great additional effort and offer their readers added value.
Company owned publications for directly addressing target groups offer great potential – provided they offer the reader real added value, are professionally written and designed. Well-prepared content with news value can also be used several times for different communication channels, ideally even for media work.
Acquisitions and sales are exceptional situations for companies – and how the transaction is perceived by the various target groups (stakeholders and, if applicable, shareholders) and the general public is a decisive factor for the future success or failure of the company. Professional communication minimizes the reputational risks associated with such a transaction.
Communication around an IPO (Initial Public Offering) is all about convincing potential investors of the equity story and communicating the investment highlights. The more coherent the story and the more professional the communication, the better the prospects for a successful IPO. The IPO is an exceptional situation for the company, and all parties involved must work closely together: company representatives, lawyers and issuing houses as well as the accompanying communications agency.