BOSTON & CAMBRIDGE, Mass.--(EON: Enhanced Online News)--An expert life science industry panel with representation from banking, legal and strategic communications yesterday discussed a historic snapshot of life science initial public offering windows, declaring that the current financing cycle for life science initial public offerings (IPOs) could be at the half-way point, with a measurable increase in IPO activity in the coming months. Yesterday’s IPO Preparedness Panel for Senior Management and Board Members of Emerging Growth Companies event was hosted by LaVoie Group, a strategic communications firm focused on the health & life sciences market, in conjunction with SunTrust Robinson Humphrey and Mintz Levin.
“Over the last fifteen years, there have been four substantial life science IPO windows before this one, lasting from 6-20 months with an average of 12 months. March 2013 kicked off the current window, indicating that this window may have substantial additional prime opportunity for issuance.”
Considering the recent surge of IPOs in the United States for life science and med-tech companies, the panel was well attended, with many invitees noting the relevance to their respective organizations. The panel reviewed key issues that company leaders should consider before commencing the process of going public. The panelists explored opportunities, planning parameters and risks for senior management and board members considering a public company pathway.
The panel was led by three key opinion leaders with varied backgrounds, offering a well-rounded discussion of the IPO process: Christine Gallagher, Managing Director, Equity Capital Markets at SunTrust Robinson Humphrey, Megan Gates, Member of Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, PC., and Donna LaVoie, Founder and CEO, LaVoie Strategic Communications Group (LaVoie Group).
Based on data presented by SunTrust Robinson Humphrey, Gallagher said, “Over the last fifteen years, there have been four substantial life science IPO windows before this one, lasting from 6-20 months with an average of 12 months. March 2013 kicked off the current window, indicating that this window may have substantial additional prime opportunity for issuance.” Gallagher added that she considers IPO “windows of strength” to be periods characterized by six months or more of above average issuance with a relative absence of IPO withdrawals and postponements. “Although we have seen these conditions since March, issuance windows tend to gain momentum as the timeframe progresses, indicating the most active portion of the current window may be yet to come,” she said.
Gates addressed the complex process for filing with the Securities and Exchange Commission to take a company public. “Preparing for an IPO generally takes 12-18 months before a filing. The better prepared a company is going in to the process, in terms of the business section, financial statements, board and committee structure and other elements, the quicker and more smoothly the process will run.”
LaVoie added, “It takes a partnership with both internal and external resources to establish a company’s positioning and to identify appropriate and attainable milestones. Building key relationships—well in advance— with the right investors, analysts and media to tell your company’s story and to build trust and transparency is critical path to a successful IPO and aftermarket success.”
LaVoie Group partners with leading life sciences brands to build value for their companies, attract capital, and reach key stakeholders through integrated communications and marketing. The firm provides strategy consulting and integrated communications programs designed to properly position, create visibility and drive value. The agency has received 18 awards in four years in recognition of the work it has done for its clients.
Clients are emerging and established industry leaders in life sciences and pharmaceuticals and governments, including but not limited to, Radius Health, DARA Biosciences, BIO, Nuron Biotech, Haemonetics Corporation, Rockwell Medical, the Commonwealth of Massachusetts, to-BBB, MorphoChem AG, RedSky Partners and Xcovery Group of companies. LaVoie Group is ranked by O'Dwyer's PR Report as one of the leading independent healthcare PR firms in the U.S. and has been honored for the past four years by the LACP for best agency awards, including the 2011 "Best Small Agency".
SunTrust Robinson Humphrey is the full-service corporate and investment banking arm of SunTrust Banks, Inc. and is headquartered in Atlanta, Georgia. It provides comprehensive capital raising, strategic advisory, risk management, and investment solutions to serve the needs of corporate clients across the nation. It also offers fixed income and equity research, sales and trading for institutional investors.
SunTrust Robinson Humphrey has extensive experience working with public and private companies of all sizes – from emerging growth to the Fortune 500. While the company offers a complete array of solutions and advice for companies across all industries, it provides in-depth industry expertise and dedicated corporate and investment banking practices for certain core sectors, including business services, financial sponsors, building products, healthcare, consumer and retail, media and communications, energy, transportation, and financial services and technology.
More information on SunTrust Robinson Humphrey can be found at www.suntrustrh.com.
Mintz Levin, a full-service law firm comprised of 450 attorneys with eight offices (Boston, New York, San Diego, San Francisco, Washington, Stamford, Los Angeles, and London) and an affiliate relationship in Israel, has served as one of the leading law firms to the life sciences industry since the industry’s birth in the 1970s. Today, the firm advises hundreds of businesses and other organizations in all sectors of the industry’s ecosystem -- from start-ups looking for their first funding to public companies with products on the market, as well as venture capital firms, investment banks, and research and academic institutions. Our attorneys provide experienced counsel to clients globally in a broad range of matters, including corporate finance and securities, mergers and acquisitions, licensing and collaborations, intellectual property, litigation, regulatory, employment and benefits, bankruptcy and commercial lending, immigration, and real estate.