At China's Zhongpin HOGS Can Fly
A leading Chinese meat and food processing company, Zhongpin Inc., needed help accessing U.S. capital markets to fund overseas expansion, and they need help getting their story across. They needed help understanding and navigating US capital markets, needed to communicate their message clearly, and sought a relatively small float the company’s stock, which immediately traded at a discount to its IPO price.
How We Helped Make HOGS fly
Our solution was to build a robust website with a wide range of information, including virtual tours of facilities, and recommended a new English-proficient CFO to tell the Zhongpin story. In addition, Bill Coffin, senior IR strategist, introduced a regular schedule of personal visits to buy side and sell side securities analysts and pitched financial publications on the newsworthiness of the company in the context of the fast growing economy of the PRC
Zhongpin quickly increased its average trading volume and the share price exceeded its IPO price. It also started to track peers on a more consistent basisIn addition, Media coverage increased substantially due to the company’s unique position in its market place and served as a media proxy for the fast growing Chinese (PRC) economy. The company was able to complete an equity financing that increased its analyst coverage and buy side institutional investor participation.As a result, Zhongpin was noted in a number of securities firms’ wrap up of strong PRC-based public companies, which gave the company even greater visibility within the institutional market place.