Category Archives: Marketing

Key Takeaways from the European Issuers Webinar

ScribeStar Co-Founder and Executive Chairman Adam Shaw participated today in the Europeanissuers webinar on the Digitalisation of EU Capital Markets to discuss technology and market trends in the capital markets space. He was joined by Peter Kerstens, Adviser on Technology and Innovation at DG FISMA, Friedrich Luithlen Global Head of Debt Capital Markets at DZ Bank, Hervé Labbé, CEO of NowCP, and  Robert Koller, the Executive Chairman of the european primary placement facility (eppf).

The event came at a time when Europe is making strong strides towards a Capital Markets Union, and the market is rapidly adjusting to accommodate COVID19 induced demands for quick and efficient access to capital and for new ways of remote capital markets operations. It was an exciting panel of technology providers, bankers, and policy makers, each with a unique perspective on the role of digitalisation  in this respect, and what the European capital market of the future looks like. Below are just some of our takeaways from the discussion.

  • THE BIG TECH TRENDS:There are five notable technology trends driving innovation and change in the capital markets space. These are cloud computing, APIs, Big Data and analytics, Process Automation, and finally DLT, blockchain, crypto, and tokenization. Demand driven market transformation will also inspire regulatory change, but also induce a quicker tech adoption curve on the side of market participants and regulators.
  • LISTING PROCESS AND COSTS FOR SMEs: Though there is still strong demand for innovation on the trading and settlement side, technology advancements on the non-trading side have been slower. This is primarily in respect to documentation production and process management associated with bringing companies and transactions to market, and keeping them compliant with market regulations. For an SME a cost of an IPO can reach up to 15% of the value of the issuance, while regulatory burdens and costs associated with ongoing compliance are often mentioned by managers as some of the most laborious and costly business processes.
  • DIGITAL CAPITAL MARKETS ECOSYSTEM: In order to have a truly seamless issuance process, whether that’s via an independent bond or equity trading platforms or via an established stock exchanges, we have to create a digital environment where the pre-issuance documentation creation and compliance process is integrated with the trading side and linked with automated ongoing compliance. ScribeStar does that by bringing together multiple dislocated market participants to create and manage transaction documentation and process in a secure regulatory compliant digital environment. ScribeStar creates documents in structured data format, allowing for such level of automation and data utilization by the platforms and investors, regardless of the type of security, marketplace, or location.
  • THE ROLE OF STOCK EXCHANGES: To demonstrate this, we’ve mentioned our work with Aquis, a dynamic growth market in the UK, where we are redefining the standards of what an issuance process looks like, how much it costs, and how long it takes. By working together with the regulators, and by placing the issuance and compliance process on a digital platform, in an automated and templated way, issuers will be offered with a simple and efficient listing process, and thus cheaper and easier way to access the market and stay there.
  • REGULATIONS AND WHY WE NEED THEM: Regulations inflate post-crisis, and deflate in times when the economy needs a stronger boost. It is a cyclical process. There is an ongoing debate to reduce regulatory diversity at an EU level, but there are also decisions to be made in terms of the intensity of those regulations. It is a balancing act which has to be approached carefully, and considered in respect of EU capital markets harmonization as well as how it impacts on market participants. Ultimately, regulations are there to protect investors and the market as a whole. Technology is therefore a way of easing compliance with appropriate levels of regulation rather than reducing the levels of regulation. By automating and digitising regulatory processes, the associated time consumption and costs for complying can be reduced. Embracing digitalisation also helps regulators and policy makers to better understand regulatory impacts and make better educated decisions.
  • SUPPORT FOR INNOVATORS: If it doesn’t want to be left behind, Europe has to nurture and support innovation, and help build a strong technology infrastructure. We have to secure risk capital to help companies innovate and grow, and give them a playground where their technology can be tried and tested. For that purpose, sandboxes and a good safe environment to experiment in, while also allowing regulators and supervisors to learn directly from the innovators.
  • BOND TRADING PLATFORMS:Taking bond markets as an example, innovation will mostly be driven by large issuers who have identified shortcoming in the process, that being placement and allocation, documentation, settlement, underwriting, advice, or validation of decisions made by the issuers. From the current perspective there is a strong case to be made for platforms to address the issue of documentation, some aspects of trading, placement and allocation. We should also note that many liquidity bond trading platforms are natural monopolies. Whether that’s ok is a question for the market and policy makers. An example of such a question would be whether the dealers and the issuers would want independent bond platforms monopolising data that they would like to have access to.
  • EQUITY MARKETS:In respect of the equity market, especially SMEs, there is not a single solution that would fit in the same way as for bonds given the bespoke nature of each issuance and the fact that all of the current issuance processes are static and do not allow the use of structured data. Everyone agrees that SMEs have to have a clearer and easier path to market. Currently there are too many legal and compliance costs involved with that process. By creating a digital environment where structured data can be used for equity markets will allow automation, which will a significant positive impact for the market as a whole and in particular for SMEs. Automation will also allow for things to be better standardised, in line with the CMU HLF action points, and data will allow investors to be able to compare and understand investment opportunities quicker. Simpler analysis would drive more investments in SMEs, and more companies to market. Furthemore, enabling the issuers to work together with their deal teams, the exchange, the regulators and the market in a digital online manner will obviate the relevance of location and proximity.

The future looks bright, and there are many promising technology initiatives which will drive positive change. The only way forward is for the industry, technology providers, regulators and policy makers to work together. We enjoyed exactly such an experience in today’s panel. Many thanks to our panellist colleagues for the engaging discussion, all the participants for tuning in, and EuropeanIssuers for organising. We’re looking forward to the next one!

Digitalisation of EU Capital Markets

Join Adam Shaw Founder, Executive Chairman of ScribeStar at the European Issuers webinar on the Digitalisation of EU Capital Markets, alongside colleagues from DG FISMA, DZ Bank, European Primary Placement Facility, and European Issuers members.

This Webinar is part of European Issuers Capital Markets Webinar Series Programme on key trends in the capital markets space, in partnership with NASDAQ and Euronext.

Join to learn what the European public markets can do to make raising capital easier, how the efforts around the Capital Markets Union will affect exchanges, issuers, and investors, and how technology can help tackle these challenges.

Register for free here;
http://www.europeanissuers.eu/ecmwebinarsprogramregistration

Do you have questions or comments you’d like us to address at the event? We’d love to hear from you at info@scribestar.com.

For some background reading on the topic, here is our take on the latest High Level Forum Report on the Capital Markets Union – https://www.lsegissuerservices.com/spark/scribestar-digitalisation-stock-exchanges

Scribestar look towards growth in 2019 as LSEG ELITE member

Scribestar joins the London Stock Exchange Group’s ELITE Programme for ambitious, high-potential companies

Scribestar look towards growth and investment in 2019 supported by LSEG’s ELITE programme.

London UK, Tuesday, 4th December 2018 – Scribestar, the London-based company focused on improving the efficiency of capital markets transactions through its online collaboration platform for document drafting, verification and publishing, is unveiling its latest plans for growth after successfully securing a place on the London Stock Exchange Group’s ELITE programme.

Established to create a highly-driven international business support and capital raising community for ambitious companies worldwide, the LSEG’s innovative ELITE programme provides a limited number of highly sought-after memberships for selected organisations. Creating a framework of support, the programme aims to guide member organisations to improve structure, increase growth and become more competitive in the global markets.

Scribestar CEO, Greg Lunn, comments:

“We’re thrilled to have been selected to join such a prestigious global programme. As an organisation, we’re anticipating being able to draw on the expertise of all those involved to build further on our successes so far in delivering significant efficiency and productivity gains to law firms and their advisors in managing the drafting to publication of highly-complex documentation for capital market transactions.”

Greg continues:

“We know our market proposition works – our client-base is proof of that – however what we now have is a unique opportunity to immerse the company in a wealth of experience, networking opportunities and access to funding options for future investment and expansion to help us really focus on our long-term goal of making Scribestar the de facto legal engine for any organisation involved in corporate fundraising activities.”

Umerah Akram, Head of ELITE UK & International, London Stock Exchange Group commented:”

“I’m excited to present the latest group of UK companies to join ELITE, a clear demonstration of the country’s ability to grow great businesses. These companies drive innovation, employment, and create opportunities for us all.

Umerah continued:

“ELITE is committed to giving the British business stars of the future the very best chance to succeed, providing them with access to appropriate expertise and capital. It is a unique, strong community of the best and most dynamic entrepreneurs, advisers, investors and business school academics from the UK, Europe and around the world.”

About ELITE
ELITE is a full-service programme designed to help ambitious companies prepare and structure for the next stage of growth through the access to long term financing opportunities. It is a unique offering for scale-ups across Europe and beyond, providing a comprehensive training programme and extensive access to the business and financial community. The ELITE Funding platform, launched in 2017, will also help streamline the capital raising process for ELITE.   For further information about the London Stock Exchange Group’s ELITE programme, please visit the official website at https://www.lseg.com/elite

Scribestar welcomes Paul Levy as Business Development Manager

Scribestar is committed to revolutionising the way law firms, investment banks, accountants and other companies manage their capital markets documents. To do that, of course, it’s important that we can reach out to those businesses who will most benefit from the Scribestar platform. We’ve recently welcomed a new team member, Paul Levy, who’s going to spearhead this campaign for us.

Paul has a fantastic history in business development and knows the legal market inside out, having been responsible for a portfolio of 90 firms in his last role as Business Development Manager at EG. He fits perfectly into our organisation thanks to his knowledge of the sector and his desire to innovate to improve it. Paul’s previous experience as Sales Manager at Thomson Reuters also demonstrates his commitment to business growth – we couldn’t ask for a more motivated and skilled addition to the Scribestar team.

Here’s a little more about Paul in his own words:

1. What will your role at Scribestar entail?

My role has a new business focus which means I’m charged with finding and engaging new law firms who service Capital Markets clients, along with building and maintaining long term relationships with our own clients.

2. Why did you join?

I joined because of the opportunity to work at an exciting and innovative company that has developed a product that solves numerous problems for busy Capital Markets fee earners. The role was too good for me to consider turning down.

3. What is your previous experience within the industry?

I’ve been working in the law firm space for over ten years, having worked at Practical Law (now part of Thomson Reuters) for over 8 years. Most recently, I was looking after Magic Circle and large law firms for EG (part of Reed Business Information).

4. What were your thoughts about Scribestar prior to joining?

I thought that it was a really exciting opportunity; this is an unexplored space and it gives me a great platform to use all the skills, knowledge and connections I’ve built up over the years and put them all to good use.

5. What values / qualities can our clients expect from you?

Honesty and transparency are two of my key traits. Additionally, I’m a consultative Account Manager, which means I’m keen to understand my client’s challenges so that I can help them to overcome them. I’m a good communicator and, since not all clients’ needs and challenges are the same, it’s important that I’m adaptable to every situation.

6. Your thoughts on why the Legal Industry should adopt new technologies.

The legal industry is very traditional and law firms have long established methods, but there is so much inefficiency with some of those methods. Now innovative technology exists to improve these methods and help reduce stress, mitigate risk, save clients’ money and produce a more streamlined and effective practice. It’s an all-round win-win and the more technologies they bring into their practices the better things will be.