8.8: Note on the Road Show

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Abstract

The central part of the marketing process is commonly called the "road show." It is through this often hectic one-to-three-week period that the financial community becomes acquainted with the company's offering. The managing underwriters plan a series of meetings with potential investors in and sometimes outside the United States at which the company and the offering are discussed. Typically, a small team consisting of a few of the company's top executive officers and members of the managing underwriter group meet with large institutional investors and securities analysts and brokers, as well as potential underwriting syndicate members, in small or large groups, or on a one-to-one basis. The marketing acumen and reputation of the road show team is often determinative of the success or failure of a given offering since investor interest at this point is typically an important factor in the eventual pricing of the offering. The road show...