The sequence
| Step | Purpose | Public? |
|---|---|---|
| Early-look meetings | Management meets selected investors months ahead to build familiarity | No |
| Pilot fishing | Confidential feedback on story and valuation shortly before launch | No |
| Analyst presentation | Management briefs syndicate analysts, who prepare research | No |
| Intention to float (ITF) | Public announcement of plans to list | Yes |
| Investor education | Analysts present their research to investors; feedback on valuation | Limited distribution |
| Price range and prospectus | Approved prospectus published, books open | Yes |
| Roadshow and bookbuilding | Management meetings; investors place orders | Yes |
| Pricing and allocation | Final price set, shares allocated | Yes |
| First trading day | Shares start trading | Yes |
| Stabilisation period | Price support if needed; greenshoe decision | Yes |
Early-look and pilot fishing
Early-look meetings start relationships without discussing a deal. Pilot fishing is closer to launch: the banks arrange confidential meetings to test the equity story and valuation range. Rules on what can be said and to whom are strict, and the information shared must be consistent with what will appear in the prospectus.
Analyst research and investor education
Syndicate analysts receive a management presentation and write pre-deal research. Strict separation rules keep research independent from the deal team and the company. During investor education, analysts present their view to investors and the banks gather feedback on valuation, key questions and demand. This feedback is the main input for setting the price range.
The intention to float
The ITF announces the planned listing, venue, broad offer structure and use of proceeds, and positions the company publicly. It starts a period of intense media and investor attention. From here, communication must follow the rules for public offerings.
Price range and launch
With investor feedback in hand, the company and global coordinators set the price range. The regulator approves the prospectus, it is published with the range, and the offer period starts. Retail investors can subscribe through banks and brokers if there is a public offer.
The roadshow
- One-on-one meetings with the most important institutional investors.
- Group meetings and lunches with smaller investors.
- Virtual sessions that reach more investors in less time.
- Retail events where there is a retail tranche.
Management should rehearse thoroughly. Investors probe the weakest points of the story. Consistency matters: every answer must be in line with the prospectus.
Bookbuilding
Investors submit orders through the bookrunners, stating the number of shares or amount and often a price limit. The book is tracked daily. Bookrunners assess:
- Coverage at each price level.
- Quality of demand: long-only funds, sovereign wealth funds, pension funds and other long-term holders versus short-term traders.
- Concentration: whether demand depends on a few large orders.
- Price sensitivity: how much demand falls away as the price rises.
The banks share book messages with the market ("books covered", "covered throughout the range") to build momentum.
Pricing
On the final day, the company and global coordinators agree the price. Options include pricing within the range, at the top, revising the range upwards, or in weak conditions pricing at the bottom, reducing the offer size or postponing.
Allocation
Allocation is a judgement, not a pro rata calculation in most institutional offerings. Bookrunners favour investors who:
- placed orders early and without tight price limits,
- are expected to hold the shares,
- showed engagement through meetings and research.
Retail allocation often follows a published key, such as a minimum allocation per investor.
First trading day
Settlement delivers shares against payment, the company receives the primary proceeds (less fees), and trading opens. The stabilisation manager monitors the price. The company should be ready with announcements, media handling and a plan for the first investor questions.
Prepare the details with the roadshow and bookbuilding checklist.