Issuu on Google+

Insightful Communications

Independent Advice


Introduction to h2glenfern h2glenfern are independent communication and management specialists offering a broad range of advice aimed at improving the effectiveness and efficiency of a company’s interface with the financial markets and other stakeholders. Excellent market relations are an essential component of success for any public company. Securing and retaining a core of supportive investors and informed commentators will provide greater levels of stability and flexibility in a company’s relationship with the capital markets, thereby reducing volatility and consequently the cost of capital. Companies should seek to create and maintain a register of shareholders who both understand and support the investment proposition and management’s ability to deliver. However, important as it is to preserve the relationship with a company’s long term shareholders, it is also essential to cultivate potential new investors. To achieve these dual objectives it is necessary to have a credible and consistent strategy for interfacing with the capital markets. In recent years the challenges have increased significantly as a result of greater complexities in the structure of the financial markets. Gone are the days of a generic institutional investor; investment criteria now range from ultra short-term hedge funds to private equity whilst equally substantial changes in regulation and technology have undermined many of the traditional lines of communication. A comprehensive understanding of the structure of capital markets and the dynamics of its component parts is an essential starting point for any successful market communications strategy. The partners of h2glenfern have many decades of experience and expertise derived from a broad spectrum of

2


the financial markets - including fund management, equity research and sales, corporate finance and M&A, and communications. Within h2glenfern we focus this expertise upon understanding the specifics of a client’s challenges and tailoring our services to provide the most appropriate solution. These services include:

Perception Audits A detailed perception study provides an invaluable insight into how stakeholders view a specific situation - be it an investor or the media’s view of an equity story. The outcome provides not only a snapshot of current opinion from which to determine any issues to address but also an excellent benchmark for measuring future progress.

3


Investment Case Creation Every company needs a “Cornerstone Presentation” which clearly articulates its Investment Case to the financial markets. Using our analytical experience and market expertise, h2glenfern can craft and refine such a presentation helping companies to position their Investment Case so that they receive the right market valuation. The Cornerstone Presentation can subsequently be adjusted to address specific audiences – sales desks, research analysts or fund managers, but always with a consistency of core messaging. Data Dissemination & Presentation Development In an environment where regulations and technology are making frequent changes to disclosure policies and communication channels, h2glenfern advises on the most efficient and effective methods of promoting a business to the financial markets, building upon the Cornerstone Presentation. This advice ranges from an explanation of a business’s dynamics and markets, through non-deal road shows and sales desk meetings, to communication around results, fundraisings and acquisitions. At h2glenfern we work with clients to create targeted communication materials (presentations, statements, RNS announcements etc.) that address the ongoing requirements and concerns of the potential audience. Presentation Mentoring Notwithstanding the content, delivery remains a key element of a good presentation and delivery styles need to be adjusted to suit the requirements of the various audiences across the financial markets. The origins of the h2glenfern business were in presentation coaching and it remains a core element of our service offering. Constructive critical analysis of both content and delivery prior to the final presentation is designed to maximize the impact on the target audience. For presentations that are converted into digital recordings h2glenfern applies its 25 years’ experience of business documentary film-making to both content and delivery. 4


On-Line Communications The internet has become the dominant channel for information exchange and knowledge transfer. Utilising digital technology the h2glenfern team can capture presentations and make them available on-line, dramatically increasing the reach of communications and significantly leveraging the efficiency of executive time. Moreover, audience engagement can be measured and analysed, feedback and questions can be received and responded to and the benefits can therefore be easily demonstrated. Applying its significant experience in the digital distribution space, h2glenfern can advise on the most effective strategies to ensure that the investment message and other company data are received and understood by the target audience (both internal and external) within hours of recording. Broker Research Coverage Research coverage is a key determinant of investor interest and at h2glenfern we provide independent, objective advice on the most appropriate firms to act as both corporate brokers and secondary market research followers. Through the strength of our relationships in the mid-market space, we can help to bring them on-board and advise on the most efficient use of the sell-side function.

5


Market Interface Review (MIR) In certain circumstances (for example when moving from AIM to a main market listing or on a change of management) it is appropriate to conduct an in-depth reappraisal of a company’s interface with the capital markets. The MIR is an objective, comprehensive review of the market’s clarity and understanding of a company’s: operating characteristics, strategy and management philosophy in conjunction with investment case and valuation assessment, communications tactics and investor targeting. It culminates in a recommended strategy and a suite of products for implementation. The IPO Package The Initial Public Offering (IPO) remains a key option for those looking to raise funds or create liquidity. How management teams (often new to the capital markets) construct and present their investment proposition during the IPO process is crucial to securing the widest potential investor audience and ultimately the highest valuation. Moreover, for both existing and new investors, the manner in which a management team interfaces with the capital markets post the IPO is vital to the perception and value of its business going forwards. At h2glenfern we provide a package of the above services to equip and prepare management teams through the IPO process. Executive Remuneration Structures The subject of executive remuneration has become a substantially more significant issue in the minds of shareholders and to minimize the risk of reputational damage from instances of confrontation, it is vital that remuneration policies can be seen to be fair and appropriate. At h2glenfern we provide a comprehensive advisory service based upon practical experience as opposed to HR theory, to all those who have a responsibility for the issue.

6


Corporate Communications Ensuring the consistency of messages on issues relating to strategy and execution of the business plan requires companies to have a robust communications strategy with all stakeholders. h2glenfern creates strategies to assist in this process, utilising both in-house resource and external agency support. Furthermore it provides independent advice on the agency search and selection process and undertakes qualitative tracking studies to assess media understanding of a business, its strategy and its performance. Business Consultancy Whilst many consultancy services are offered to meet the requirements of a company or business division, h2glenfern provides a range of services in the areas of corporate and business development targeted specifically to assist Chairmen, CEOs and Directors of corporates, financial institutions and professional services firms. These services include strategic planning and business development, mentoring and coaching, corporate governance and reputational/risk management. Moreover, the advice provided is not based on theory but on practical experience gained from executive and non-executive roles in both public and private companies. At h2glenfern we work alongside brokers, banks and financial PR houses in order to develop and execute appropriate communication programmes but our independence brings a unique angle and an added degree of integrity to the advice we can offer our clients.

7


Contact: h2glenfern 2nd Floor 7-8 Conduit Street London W1S 2XF Tel: 020 7160 0570 www.h2glenfern.com


h2glenfern brochure