A small cap banking client, “Bank X” has seen its market capitalization decline by 10% more than its competitor universe over the past 12 months despite showing growth above the market. The company approaches its partner, 360 Global, for solutions to enhance shareholder value.
360 Approach
360 senior partners meet with Bank X senior management and discuss client needs in the context of value gap. Leveraging its network of operating partners, 360 staffs a dedicated project team with significant experience and success in small cap financial services investor strategy.
360 Solution
360’s team sets forth to construct a robust investor strategy for the bank. As a first step, 360 conducts an independent assessment of Bank X and isolates its ROE drivers. Next, 360 conducts an in-depth assessment of institutional investor sentiment via tapping into its [2K+] US institutional manager relationships to identify key value drivers.
360 develops a specific step-by-step investor strategy plan with concrete milestones to change investor sentiment. Solutions include: preparation of road-show materials highlighting key strategic initiatives and financial targets Bank X strive to achieve over a defined period of time. Strategic initiatives would include asset optimization / defeasance program, client up-tiering approach, new funding strategy and an overall revamp of investor communication process.
360 continually monitors execution success and offers incremental solutions throughout the lifelong relationship (not 1-off assignment).
