Preparation for the Initial Public Offering (IPO) Process and Management of the Process
What is IPO?
- Managing the process of a general call for the purchase of Capital Market instruments such as stocks, bonds, bills, lease certificates and the sale of shares.
- Primary Public Offering: Coordinating Public offering of companies whose shares are not traded on any stock exchange
- Secondary Public Offering: Offering some more shares of a company whose shares are traded on the stock exchange
What is the preparation before IPO?
It is the whole of the services we provide for companies that are not open to the public and that are not designed according to the investor’s point of view, either as an organizational structure or as an affiliate and partnership structure, in order to increase their institutionalization and to make the investor perceive the companies more accurately and positively.
Services to be provided during the preparation process
- Sector analysis showing the position of the company in the sector by examining the current situation and expectations of the sector
- Showing the Company’s Strengths / Weaknesses and Opportunities & Risks
- Analysis of the current working capital and showing the effect of working capital need on the future financial performance of the company
- Examining the company on department basis and identifying deficiencies
- Examination of the contracts in which the company is a party
- Preparation of reviews and recommendations for human resources
- The Corporate Governance Principles are presented to the company and started to be implemented
- Examination of the tax risk of the company
- Examining all the accounts in the trial balance, determining the risks and giving the necessary recommendations
- Interpreting the financial statements from the perspective of the investor by making financial analysis, calculating the financial ratios and bankruptcy score
- Examining the subsidiaries and partnership structure and ensuring the optimum structuring of the company by investigating possible consolidation scenarios
- Selecting the appropriate Brokerage House for the public offering, managing the processes related to official institutions such as CMB, BIST, PDP, MKK in the process of completing the financial and operational preparation for the public offering, help coordinating the public offering by coordination of independent audit, lawyer’s report and PR studies.
How long does It take to restructure the company for IPO purpose?
The time required for structuring for the public offering varies according to the organizational structure of the company, its size and the sector in which it operates, on average it covers a period of 6 months to 1 year.