IPO Services

Before becoming a public company, you have to look like one


Fuel your company’s future

Deciding to take your company public is a decision that will truly transform the way you do business and, if done right, will enable you to unlock new business opportunities while driving sustainable growth.

But turning a privately owned enterprise into a publicly traded company through an Initial Public Offering (IPO) is a rigorous process. Going public requires significant effort as well as the different branches of your business working together towards a common goal. It can be a daunting and difficult task for those not prepared.

So where do you start? And how do you know if going public is right for your business?
 

 

Dean Braunsteiner, Partner, National IPO Services Leader, Toronto

“Preparation for an IPO includes careful consideration of the pros and cons, a thorough understanding of the process, a well-thought-out business plan, strategic orchestration of action and clever positioning.”

- Dean Braunsteiner, Partner, National IPO Services Leader, Toronto


The IPO journey


Evaluate your readiness 

Have you evaluated if going public is your best option?  Assessing your company's readiness to go public is a critical first step.

Before you embark on this journey, you have to:

  • Review objectives and capital needs

  • Outline advantages and disadvantages of going public

  • Explore all available options

  • Get guidance on stock exchanges in Canada and the U.S. (including SEC requirements)

  • Assess financial statements and reporting systems

  • Gain insight into costs and cultural changes

  • Explain the process and pitfalls

  • Establish a reasonable timeline
     


Your action plan

To make the transition from private enterprise to public company a smooth and successful process, you need to “get your house in order” by designing and following an optimal action plan.

To develop the ideal IPO action plan, you have to:

  • Make sure financial statements are in order and ready for prospectus

  • Get advise on necessary management restructuring

  • Establish  an IPO advisory team

  • Look for guidance on professional IPO relationships
     


Execute the IPO process 

The offering phase is a juggling act within a short timeframe. You will need to work alongside your underwriter, legal counsel and advisors to execute the right IPO process.

For the optimal execution of your IPO process, you have to:

  • Review your preliminary prospectus for internal consistency

  • Make sure the presentation of your financial statements and other financial data meets all disclosure requirements

  • Obtain financial information and assistance in drafting the critical Management Discussion and Analysis (MD&A) in your prospectus

  • Anticipate and respond to issues raised by regulators both in Canada and the U.S.

  • Seek help with the due diligence process

  • Prepare for necessary disclosure and reporting requirements necessary as a public company
     


How we can help  

Like any journey, going public requires careful preparation. Our IPO Services team includes professionals with technical skills and industry expertise to help you better understand what it takes to go public, guide you through the entire IPO journey, meet your requirements as a successful public company and turn your vision into a reality. Start your journey by learning what you'll need to consider at every stage, before and beyond your IPO.

We can also help plan for the consequences of public life:

  • A corporate governance gap analysis prepares you for the requirements of managing a public company and assists in enhancing shareholder value. We evaluate your company's actual or planned corporate governance practices and policies against securities and listing guidelines, identify weaknesses and recommend remedial action.
  • A tax check-up helps boost the tax advantages and reduce the tax costs of going public. We review the tax consequences of going public, the potential risks and planning opportunities and the proactive measures you’ll need to take.
  • A financial controls review gives you an understanding of your company's systems—needed for the reporting demands of a public company. We assess your internal controls, highlight areas of potential risk and provide recommendations for improvement.
     

Canadian IPO trends

Canadian IPO market hits pause amid first quarter volatility

Canadian IPO market hits pause amid first quarter volatility

The market for initial public offerings paused for a breather in the first quarter of 2018 as issuers and investors assessed the implications of interest rate hikes, recent U.S. tax changes, market volatility and threats to world trade. But if the pipeline of new issues is any indication, the market won’t stay quiet for long.

Start adding items to your reading lists:
or
Save this item to:
This item has been saved to your reading list.
Canada’s IPO Market 2010–2014

Canada’s IPO Market 2010–2014

[This publication was published in 2014] The Canadian market for initial public offerings in Canada during the past five years has been a story of contrasts: at times encouraging, then disappointing, both optimistic and uncertain. Despite periods of feverish activity, the market was unable to sustain meaningful momentum.

Start adding items to your reading lists:
or
Save this item to:
This item has been saved to your reading list.

Explore further

Contact us

Dean Braunsteiner
Partner, National IPO Services Leader & National Assurance Leader, Mining
Tel: +1 416 869 8713
Email

Geoff Leverton
Partner, National Capital Markets & Accounting Advisory Services (CMAAS) Leader
Tel: +1 416 815 5053
Email