Our multi-sided digital platform provides the first simplified, transparent and cost-effective way to help growing companies raise capital on regulated stock exchanges
A listing on a regulated exchange offers a growing company access to capital, a liquid market in its shares, and serves as an attestation of its management and their vision. But unlike the innovative and forward-thinking companies that use an IPO to raise capital, the IPO process itself remains rooted in outmoded and inefficient business practices that reflect a bygone era. Built up piecemeal over the years it has become an overly elaborate fandango in which the interests of the end users of the market, issuers and investors, are often compromised by the conflicts of interest that afflict their advisors.
Not surprisingly many companies have been attracted to alternative ways of raising new capital that appear less complex, expensive and opaque. But too often these other options result in a situation where the interests of founder and investor are misaligned.
SquareBook changes all this. We provide a modern platform that demystifies the IPO process by giving back control to the company issuing its shares. Advisors still have their part to play, but our platform’s unique approach to using modern technology to connect issuers and investors means that decisions about investor selection, pricing, and share allocations are free from the conflicts of interest that compromise the existing process. And our policy of engaging retail as well as institutional investors means we have access to a wider pool of capital and deliver a better outcome.
Our platform has been designed specifically to meet the needs of growing companies. With SquareBook companies get an IPO process that suits their individual needs, find investors whose interests align with their own, all in a simpler, cost effective and efficient way.
SquareBook connects issuers with all participants in the IPO process. Our platform expands the capital pool by opening primary markets to a wider audience. This streamlined approach reduces friction, ensures regulatory compliance, and improves outcomes and efficiencies for all participants.
We provide an expanded capital pool by including high quality private and smaller institutional investor participation. Firms and founders get better visibility and early interaction with investors through our innovative ecosystem, with real-time transaction insights to investor interest and feedback.
Our approach, which fundamentally aligns the interests of the issuer with those of the investors, will deliver better pricing, shareholder engagement, and a more stable shareholder base.
Previously only available to large institutional investors, the retail investor now has the same access to information, investment opportunities and pricing in IPO transactions where issuers welcome retail participation.
SquareBook’s suite of products facilitate a media-rich information flow between investors and issuers.
Private investors can filter IPO opportunities based on their needs-based profiles.
SquareBook provides a single source of access to IPO opportunities in a fair, efficient and regulation-compliant environment. We remove barriers to entry, enabling all institutional investors – large or small – to participate in primary market IPOs.
The platform integrates with existing IT workflows (via the industry standard FIX protocol), helping investors to meet compliance requirements such as pre-trade approval, and reducing error rates.
Allocations are based on issuer requirements rather than advisor relationships, and all investors receive equal access to issuer communications and broadcasts via our platform.
Advisors and syndicates benefit from improved efficiencies and regulatory compliance as outdated manual processes are replaced with the SquareBook rules-based technology. Real-time insight into the book-building process improves efficiency. The allocation process also helps to demonstrate impartiality and justify final decisions.
The platform also enables sponsors to ensure all analysts engaged in a transaction - connected and independent - have equal access to all relevant information.
Advisors benefit from increased deal flow as SquareBook makes it easier and cheaper for firms to go public.
Commentary on the current IPO book building process
An independent review for the Secretary of State for Business, Innovation & Skills for the purpose of guiding the government in considering the IPO and book building process, including academic comment and analysis.
Review from 2012 examining how well equity markets are achieving their core purposes, finding that short-termism is a problem in UK equity markets and setting out principles to provide a foundation for long-term perspective.
A paper by the FCA, examining evidence that syndicate banks make favourable allocations to investors who provide them with information likely to be useful in pricing the IPO, and that book-runners favour investors from whom they generate the greatest revenues elsewhere.
This report from the European IPO Task Force makes recommendations to EU policy makers and industry participants to increase EU job creation and drive growth, by restoring effective access to the public markets for smaller, high growth companies.
Mark Parnell-Hopkinson is COO and a founding director and has extensive experience working within regulated businesses. Mark has held senior operational roles within Plus Markets, BGC Partners and Mint Equities. Mark has also been running a 15-person consultancy business supporting over 20 regulated firms for the last five years.
Joe Sluys is CEO and a founding director, and has spent the vast majority of his career working for or with regulated businesses in technology, business intelligence and management reporting roles. In 2005, Joe founded a business which had over 50 regulated institutions as clients including some of the largest asset managers and investment banks.
Alistair Sutherland is CTO and a founding director, with over 15 years’ experience in the software industry. Alistair has held both technical and leadership roles within start-ups and multi-national companies. For the last two years he has been working closely with investment banks, delivering operational risk systems.
Richard Balarkas has joined as non-executive chairman and has over 30 years’ experience leading innovation in stock exchanges and investment banks. He is currently an INED at CBOE Europe, Saxo Capital Markets Ltd, and an advisor to the board of Compliance Solutions Strategies.
Phil Dixon will be joining as an independent non-executive director He has over 30 years’ experience in running and founding investment banks and brokers. Phil is a member of the Institute of Chartered Accountants in England and Wales (ICAEW).
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