| THE AMERICAS CRISIS GROUP

Back to Financial Crisis

logo

Change in Business Model Threatens Company's Valuation

Situation overview:

A company's business model no longer aligned with the financial market. As a result, its performance-to-expectations gap widened and management and investors became equally frustrated. The company's value in the stock market was threatened as a result.

PROI member Role:

A member of the PROI Worldwide Americas Crisis Group helped address and manage the situation by developing an investor communications campaign that clearly defined the business and its growth agenda.  The scope of work included:

  • Helping management articulate the company's differentiated value proposition in a clear, concise and compelling manner;
  • Developing stronger messages targeted to investors highlighting the company’s growth;
  • Creating a "message map" to organize new investor messages;
  • Incorporating new messaging into the company's quarterly earnings announcements and supporting communications;
  • Revamping the company's investor presentation for industry conferences and meetings with current or prospective investors;
  • Developing new content for the company's website to reflect its updated positioning; and
  • Educating employees on the company’s new corporate messaging.

Results:

The investor communications campaign successfully educated shareholders on the company's standing, making its performance more predictable for investors and narrowing the performance-to-expectations gap.  The campaign also sparked new interest in the company among quality investors, including a multi-city non-deal roadshow in which the CEO and the CFO met with buy-side investors representing aggregate assets under management of approximately $500 million.