Our colleagues on the IR side of the house issued a new white paper yesterday. If you are involved (or interested) in the IPO process, this paper will shed some light on a the differences between traditional IPOs and confidential IPOs.
Originally posted on Building Shareholder Confidence:
When Twitter announced their confidential IPO last year, many pundits took this as a negative move. “Something is up over there…” Bah. As blogged here, the word “cautious” is a better word to describe the motives of the confidential IPO process.
What is a confidential IPO? The JOBS Act allows firms with less than $1 billion in annual revenue (emerging-growth companies or EGCs) to keep their IPO filings confidential up until just three weeks before they roadshow and market their shares. This is in contrast to the typical S-1 file which is openly filed months before the roadshow giving potential investors, media, peers and competitors a longer time window to consider an investment.