An Initial Public Offering (IPO) is one of the most crucial milestones for a company. An IPO helps the company raise a lot of money, cut down debts, improve liquidity, grow and diversify. It also offers more credibility. However, going public is a long, tough and complex task, which requires careful analysis of various factors. Thus, companies often seek support from various experts to carry out the IPO process.
Challenge
Redseer Strategy Consultants was hired to guide a leading food delivery company through the IPO process. Redseer was asked to help in completing a part of the draft red herring prospectus (DRHP) filing process, which involved industry analysis and overview.
Approach
At first, Redseer Strategy Consultants identified the competitors covering the food industry. Aided by the technological advancements in delivery methods and the rising adoption of smart devices, it was necessary to understand the market and learn the ins and outs of how the competition works, and further identify potential opportunities where our client has outperformed.
Along with understanding the competition, we reached out to customers of the company to learn about the order-focused food delivery system sector which accounts for the largest share in the global market. Customer reviews further helped us understand where the company stands in the highly popular food delivery landscape. We further analysed the company’s internal IP to understand revenue streams, cashflow and performance to date.
Result
The insights-backed support offered by Redseer helped the client navigate the complex process with ease. The food delivery company could successfully execute a planned stock market listing.
