Many scale-ups are IPO-ready

23.09.2024 10:59, Rita Longobardi

As Swiss startups continue to grow and scale, accessing the public capital market becomes a critical milestone. Fabian Gerber, responsible for the Sparks IPO Academy at SIX, is at the forefront of this transition, helping scale-ups and fast-growing SMEs prepare for initial public offerings (IPOs). His role is crucial in demystifying the IPO process for Swiss startups, opening up new opportunities for these companies to tap into public capital and accelerate their growth trajectories.

The Swiss Stock Exchange is currently the third largest in Europe, with a free float market capitalization of EUR 1.6 trillion (as of June 2024). Around 250 companies of all sizes and sectors, including small and mid-caps, family businesses, and international giants benefit from being listed on the Swiss Stock Exchange. Fabian Gerber, responsible for the Sparks IPO Academy at SIX, plays a key role in preparing Swiss startups for successful public listings. He equips founders with the knowledge and tools to steer through the challenges of going public, with a particular emphasis on leveraging the Swiss stock market’s advantages. Through the Sparks IPO Academy, Fabian supports startups with knowledge of securing capital and scaling their businesses in the public markets.

The third edition of the Sparks IPO Academy came to an end in May. What did the 16 participating growth companies learn?
Over six months, they learned which stumbling blocks to avoid an IPO, in which partners need to be brought on board, and when and how to get the maximum visibility and reputation out of a stock market listing.

Who provided the training?
SIX does not work alone. Banks, international consulting firms, and renowned law firms are also involved in the academy and provide their capital market specialists.

The Swiss venture capital market is growing and growing, but to date, hardly any IPOs have taken place. The vast majority of exits are trade sales. Why is that?
There are certainly historical reasons for this. Swiss investors are traditionally rather risk-averse. But it is also a fact that the current situation is unsatisfactory from an economic point of view: our VCs invest billions in building up startups that are ultimately sold to large companies and then often move abroad.
What do startups fear? The complexity of an IPO? The perceived excessive regulation?
The regulatory requirements for an IPO candidate are high, no question about it. But we have seen that many of the more than 40 companies that have completed our academy in the last three years already have a high level of professionalism in terms of their equity story, financial reporting and compliance. They get the final polish at the Sparks IPO Academy.

What would it take to change the status quo?
In addition to a favorable geopolitical environment and stable markets, what we need are successful pioneers; a handful of scale-ups that are listed in Switzerland and are growing profitably. Perhaps then we will experience a real ‘ketchup’ effect with numerous IPOs from deeptech scale-ups.


Next opportunity: Sparks IPO Academy 
Fast-growing scaleups and established SMEs seeking capital can participate in the upcoming Sparks IPO Academy, a 6-month training program by SIX Swiss Exchange, developed in collaboration with leading capital market specialists in Switzerland. The next IPO Academy will start in November. Apply now for the next Sparks IPO Adacemy 2024/2025.