Situation:
Alpha’s client was a mature mid-cap company operating in a consolidating industry. As a result, sell-side coverage was fairly minimal. The Company had gone public in a non-traditional way, and its resulting shareholder base was primarily composed of special situation hedge funds. Lastly, the Company’s IR messaging resembled that of a private company and lacked any real investor hook.
Solution:
Alpha IR’s challenge was to rebuild the overall IR messaging platform and subsequently develop a long-term strategic targeting platform that would help transition the Company’s shares into long-term supportive shareholder’s hands. Using our proprietary IR Audit methodology, our team delivered several high level projects over a three month time frame that supported the future foundation of the IR plan; which included a perception study, a targeting study for both buy-side and sell-side, and a peer messaging review. Alpha also developed the Company’s first ever approach to quantitative guidance that helped investors better understand the Company’s strong free cash flow position and optionality. Lastly, we developed an IR plan that was submitted to the board of directors and has been in place for over two years.
One year after the implementation of the new messaging, guidance and IR plan, our client’s stock appreciated by 200%. We welcomed Fidelity as a top new shareholder and transitioned out nearly all of the special situation investors, replacing them with long-term value and GARP-oriented investors. We remain a true partner for this client and continue to focus every day on taking their IR program to the next level.
About Alpha IR Group:
The Alpha IR Group is a holistic investor relations and transactions/crisis advisory firm that protects, enhances and builds the investment brands of America’s leading companies. We bring significant Wall Street, financial, and large agency experience to our clients, while retaining a small company, holistic approach. With deep sector expertise and senior-driven programs, Alpha IR is the right choice to manage our clients’ reputations, credibility, and ultimately, their valuation. The firm has offices in Chicago, New York, and Boston and represents over $100 billion of equity value trading on today’s public exchanges.