Welcome to the Arena from ICR – Conversations with Today's Innovators & Business Leaders

As valuations of public companies have risen, funding via convertible instruments has taken off. But while converts offer greater flexibility than traditional debt or equity offerings, they’re also complex and come with a huge list of questions. CFOs can’t be expected to know the ins and outs of such an intricate and infrequent process. But unlike an IPO, they can’t rely on advice from their banker, who is effectively negotiating against them. Fail to read the fine print and you could be out 7 figures. So who’s out there to help you?
Well, Syed Raj Imteaz, that’s who! Raj, along with his team at ICR are here to advise companies on how to get the most out of the convertible process. He’s been doing converts for over 17 years and has seen it all, from sell-side to management. He joins us today to give some important context to the convert-sation; where the structure comes from, what you have to look out for, and why it’s so hot right now. In this episode, we’ll talk call spreads, capital allocation, and coupons. We’ll also hear how Raj’s old hard-sell, and the time he saved a company a cool $20 million.
CFOs can breathe easier knowing someone like Raj is out there. So press play, and learn how you can give your company competitive working capital, without sacrificing your stake or scaring your investors.

Show Notes

Highlights:
  • How Raj found himself in equity derivatives (0:35)
  • What makes a convertible instrument more complex than debt or equity (2:36)
  • Why you need advice if you’re going to attempt a convert (4:58)
  • Convertible language that could hurt you down the road (9:45)
  • Why the market for converts is so hot (11:38)
  • Raj’s sell-side convertible pitch (16:55)
  • When Raj saved a company millions (20:09)
  • How convertibles can help you rethink capital return (24:05)
Links:

ICR Twitter

ICR LinkedIn

ICR Website

ICR Capital Website

ICR Capital – Convertible Securities

Syed Raj Imteaz LinkedIn

Feedback:

If you have questions about the show or topics you'd like discussed in future episodes, email our producer, ross@lowerstreet.co

What is Welcome to the Arena from ICR – Conversations with Today's Innovators & Business Leaders?

In the increasingly crowded and competitive corporate and financial ecosystem, it’s harder than ever for companies to break through the clutter and be heard. The media, investors, agenda-driven influencers, even customers and competitors, are defining your business story on their terms. Therefore, it is imperative that companies take control and proactively drive the conversation with stakeholders in an effort to build & maintain equity value.

In Welcome to the Arena from ICR, Co-Founder & CEO of ICR, Tom Ryan, interviews key business and financial players who influence the fate of public or aspiring public companies in the capital markets. As a former Wall Street Journal ranked sell-side equity analyst and the founder of one of the largest strategic communications firms in the world, Tom understands what it takes to navigate this complex environment.

This is a forum for CEOs, CFOs, institutional investors, sell-side analysts, financial journalists, private equity professionals and other financial community participants to share their stories and give advice in an open and candid conversation.

For more information, visit http://www.icrinc.com