Last updated on May 4, 2020
Norway’s Pexip declared virtual roadshows on Monday at a step towards getting the first European firm to complete an initial public offering (IPO) liberally, as it seems to build demand for video-conferencing on account of this coronavirus catastrophe.
Pexip, that rivals video conferencing applications like Zoom and BlueJeans and state it’s utilized by the US military and the German authorities, could blaze a path for others, bankers said.
A combo of tumultuous markets as a result of the financial effect of the coronavirus pandemic and also the logistical hurdles of running a bargain liberally during lockdowns in a lot of the planet has discouraged companies from launch IPOs.
However, in a rare instance of a company going forward with a record throughout the catastrophe, Pexip plans to sell 17 million new shares at NOK 63 ($6.06) each.
IPOs usually involve bankers, analysts, and business executives jet-setting across the world for demonstrations at high-end resorts and face-to-face meetings with shareholders.
“We had any pushback about finishing the deal on the movie, but this lockdown stage is a huge change for society as a whole and we think for the fund business and IPOs it’s a super-efficient method of performing interactive meetings,” Pexip Chief Executive Odd Sverre Ostlie told Reuters on Friday.
Ostlie confessed, however, the market volatility had frightened him a little, but”enormous interest” because Pexip first declared its intention to record last week helped soothe nerves.
The business has also reduced danger by enlisting so-called foundation investors that dedicated to the bargain before launching.
“We did the first ancient appearance encounters back in January and February reside, we then changed to each of video meetings,” explained Peter Straume, managing partner and chief executive of ABG Sundal Collier Norway, one of the joint global coordinators and Carnegie and Pareto Securities.
“The organization has such as never fulfilled both U.S. established foundation investors face, all interaction together has been done by movie,” he added.
Roadshows for the agreement will operate from May 5 to May 12, however, time might be extended upward until May 19 if mandatory, the business explained in a statement to the Norwegian bourse.