Why European tech scale-ups should go public


Scale-ups already growing strongly may not consider a public listing as necessary, or may find themselves daunted by the process or put off by the prospect of enhanced scrutiny of their business. But an IPO brings significant benefits that can help power your company’s growth and get the edge over rivals in today’s hyper-competitive landscape.


Natixis’ Equity Capital Markets team presented the advantages of going public to a group of 11 fast-growing Italian tech scale-ups in Milan on 16 October 2018. The presentation was made as part of Euronext’s “TechShare” programme, for which Natixis is a partner for the fourth year running. 

DID YOU KNOW?

An IPO (Initial Public Offering) is primarily aimed at raising capital, allowing a company to bolster and diversify its capital base by providing access to a broad and global investor base. It also opens the door to many other financing opportunities, including the issuance of further equity or for convertible bonds, and reduces the cost of traditional borrowing through bank loans. 

An IPO brings greater flexibility in managing the relationships of key stakeholders with a firm. For owners or shareholders, it provides the opportunity to raise liquidity or exit their stake in a company. For employees and managers, share options align their interests with the company over the long-term, helping you to hire, retain and motivate the best people. 

For Finally, an IPO can turbo-charge your company’s growth both organically - through the enhanced visibility and credibility it brings to your brand - and through the M&A market by enabling you to make acquisitions through stock as well as cash. 


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