HONG KONG/NEW YORK (Reuters) – Who requires expensive lunches at glitzy hotels and fancy dining establishments to court financiers for bond deals or the sale of new shares on the stock exchange?
FILE PHOTO: A guy wears mask to prevent a new coronavirus outbreak as he utilizes his mobile, with skyline in the background of Hong Kong, China, January 29,2020 REUTERS/Tyrone Siu/File Image
In a world governed by quarantine and social distancing guidelines, even lead managers on multi-billion dollar deals have actually had to cut travel and drop the individual touch in favour of video conferences and phone calls to woo potential financiers.
Warner Music Group WMG.O is among more than a dozen companies that introduced an initial public offering (IPO) in the aftermath of the COVID-19 pandemic and saw their shares skyrocket on the first day trading.
” The wear from a virtual roadshow is much less than the wear and tear on the old normal roadshow. I was pleasantly shocked,” Warner Music Group chief executive Stephen Cooper said in an interview following this company’s IPO today.
Some financiers were likewise delighted with the switch, since they conserved time travelling to meetings with companies and their IPO consultants.
” When you fulfill face-to-face, you need to get everybody together into the