NPRA '08: Timing key to going public – Huntsman

31 March 2008 03:27  [Source: ICIS news]

SAN ANTONIO, Texas (ICIS news)--Timing is key to a company going public as it has to take place when there is enough liquidity and little volatility, said Peter Huntsman, president and CEO of Huntsman, on Sunday.

"Huntsman would not have been better off 10 years ago going public," said Huntsman, who was sharing his experience at the Chemical Heritage Foundation/Founders Club/NPRA Symposium on Entrepreneurship and Innovation in the Chemical Industry.

"It was too volatile then. [The company] needed an entrepreneur," he added.

Huntsman went public in early 2005, raising roughly $1.5bn (€945m) then. It had been a private company before that for around 35 years.

A public company might have more equity to work with, he said, but it would also have a more conservative decision-making process as well as a simple strategy.

"The public demands neat little packages: define who you are in one sentence," said the CEO, adding that this would constrain bolder and broader strategies that were looking for opportunities to grow.

Additionally, a private company could keep its focus on the future, while a public company must deal with regulatory actions as well as the board of directors.

"I believe that as a public CEO, easily 20% of my time is spent on public issues which I wouldn't have to deal with if we were in private hands," said Huntsman.

Huntsman was one of this year's recipients of The 12th Annual Petrochemical Heritage Award.

The symposium was held at the 33rd National Petrochemical & Refiners Association (NPRA) meeting that runs from Sunday to Tuesday.

($1=€0.63)

By: Ivan Lerner
+1 713 525 2653

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