Case Study Background
In September 2014, Amato and Partners began a pre/IR program for a private VC backed women’s health company through a reverse merger, private placement, uplisting, and growth stage capital raises, also beginning to develop research interest in the company to expand research coverage on the Company.
Capital Markets Visibility
As the company was listed in the OTC, our primary objective was to provide aftermarket support to increase the trading/liquidity of the stock. This was accomplished in part by setting up one-on-one meetings with retail brokers and individual investors to increase awareness of the Company’s story in the investment community.
Another key component of gaining visibility was securing invitations for Company’s management to present at industry conferences, to create awareness among retail and institutional investors.
We coordinated non-deal roadshows with high net worth investors, family offices and small institutions interested in the Company’s technology.
The initial steps to enhance the Company’s profile, we created collateral materials, including an investor presentation deck and a corporate fact sheet, and provided press release development and distribution to our database of members of the wall street community.
Amato and Partners helped advise the Company on an investment banking syndicate for two private placements with boutique banks of $12 million and $ 6 million. These capital raises were able to add institutional investors to supplement the existing VC funding.
The capital raised was used to help fund clinical studies of the Company’s device for the FDA and commercialization in OUS markets.
Gaining sell-side research is an essential element of any strong investor relations program. Through our extensive contacts in the capital markets, we were able to gain sell-side research for the Company. This was an important step in providing visibility for the Company to both institutional and retail investors.
Amato and Partners advised the Company on a strategy to up list to a senior exchange. Utilizing our contacts, we introduced the Company to both senior exchanges, NYSEMKT and NASDAQCM.
In preparation for an uplisting, we advised the Company on the appropriate size for a reverse stock split, to retain enough shares in the public float.
We helped introduce the Company to additional investment banks which were able to complete a $15.5 million oversubscribed underwritten offering in conjunction with the uplisting to the Nasdaq. The Company also gained additional research coverage, with two new analysts initiating coverage.
Growth Capital – Commercialization and Clinical Studies
Continuing our strategic IR approach, we introduced the Company to larger, higher profile investment banks to cultivate interest. With two, tier 2 investment banks, the Company completed a $31.7 million straight equity raise, with no warrants.
This capital raise brought in quality retail ownership and further institutional ownership.
In the beginning of 2018, this syndication of banks we had helped put together completed an additional $30 million equity raise.
Through our full range of IR services, we took the Company from zero trading volume to over 500,000/shares a day.
To date, there are 8 well respected analysts that cover the company.
We continue to coordinate sponsored Non-Deal roadshows for retail and institutional investor as part of our capital markets visibility program.
We continue to execute our IR program as it relates to continued capital markets exposure.