Mind the Tech NY 2024"Companies must arrive ready for an IPO"
Mind the Tech NY 2024
"Companies must arrive ready for an IPO"
Ira Robbins, CEO of Valley Bank, and Cassandra Seier, Head of International Capital Markets of the New York Stock Exchange, spoke at Calcalist and Bank Leumi’s Mind the Tech conference in New York. "It takes 18 months to issue from the moment a company chooses to go public. If you exit too soon, it will be felt on the stock price and the response to it," they said.
Ira Robbins, CEO of Valley Bank, Cassandra Seier, Head of International Capital Markets of the NYSE
(Elad Gershgoren, Tomerico)
The United States is the right choice for Israeli companies. This is what Ira Robbins, CEO of Valley Bank, and Cassandra Seier, Head of International Capital Markets of the New York Stock Exchange, both believe. The two spoke with Yarden Rozanski as part of Calcalist and Bank Leumi’s Mind the Tech conference in New York. Seier warned that "it takes 18 months to issue from the moment a company chooses to go public.”
Ira Robbins, what are your thoughts on the volatility in the financial markets and the impact of the SVB collapse on the market? What’s the impact of these changes on the relationship of technology companies with banks?
"Companies come to us as part of a relationship and a desire for cooperation. Since last March it has been very difficult to recruit after an entire bank collapsed. We are an American bank that is built on relationships and close relationships with Bank Leumi. We have been involved in the tech industry for many years and we have many clients and have the ability to connect companies, far beyond funding."
How can a relationship with a bank help deal with the current challenges of Israeli technology?
"We can provide a lot of flexibility. Every high-tech company has a place in our activity and our connections are much more important than the financing we offer through our collaboration with LeumiTech."
Looking ahead to 2024, Ira, what is your outlook for our economy, and Cassandra, are we headed for a boom year for IPOs?
Robbins: "The economy is growing again in some parts of the United States. I am very optimistic about the numbers."
Seier: "2024 is off to a good start in the IPO market. There have already been IPOs in the billions of dollars, much more than in the same period last year. The United States is very different from the markets in the world and leads them. We register international companies for trading in the United States and this is mainly because of what our market offers. Not only private companies, but also companies that are traded elsewhere and want to be traded here. Last year we saw companies that were traded in Europe and approached us to expand their presence. We speak to Israeli companies at every stage of their lives and build a relationship with them. We believe in connecting with us at an early stage. We also help technology companies gain publicity for themselves at every stage of their development, even if they are not yet traded."
Cassandra, how would you describe the current market expectations for a company that wants to go public? What has changed since 2021?
"I expect the economic market to change for the better in the coming year. Investors are looking to know what the best offer is and what the forecast looks like for the coming year, looking for profitability, good and strong management with experience in the local market. They want to see an ability to show a business model that differentiates you from other companies.”
Is the US public market ready for a new listing by Israeli companies?
Robbins: "We believe that the market is ready for Israeli companies. There is no market that is more suitable for these companies."
Seier: "In 2023 it was difficult to go public because of the market and companies that were not ready entered and did not do well. Today it is important that companies are ready for the market and it takes time to be ready for an IPO. When you have all the numbers you still need about 18 months. You have to build relationships and if you go public too soon, you'll feel it on the stock price and the response to it."
Watch the full exchange in the video above.
