Rose online venture joins companies with investors

Simon Rose is an investment banker turned investor-relations man, but he does not hesitate to invoke maritime history to explain his new joint venture.

February 2nd, 2017 18:00 GMT
by Joe Brady Stamford
Published in Weekly

“As the maritime industry made the transition from sailing ships to coal-fired steam engines, guys who didn’t appreciate technology, who didn’t believe in coal, the families today are growing potatoes and olives,” he said.

“Technology can leave you behind.

That is the premise for the partnership between his firm Rose & Co and Seeking Alpha, the online investment research platform that claims eight million unique visitors a month

As TradeWinds reported in April 2015, Rose emerged four years after leaving Dahlman Rose — the boutique investment bank he co-founded — at the head of a shipping-oriented investor relations house Rose & Co. It has built a client base in less than two years ever so quietly but Seeking Alpha is something he is eager to discuss.

“It’s incredibly important for a company to have a presence on the Internet, and if you don’t embrace that importance, you’re like the sailing boat in the world going to steam,” he said.

“We just elected a president who spent 90% of his budget online and was elected because of the Internet. What we’re doing allows a company to connect with investors in the same way.”

Rose & Co has an agreement with one of its clients — Rose will not identify the company because of a non-disclosure agreement — to engage in a “pilot programme” relationship that in effect ensures its exposure to Seeking Alpha’s base of investors.

With good results, Rose would like to expand the programme to include other shipowners.

Rose & Co president Rob Brinberg said: “There are a lot of retail investors on Seeking Alpha — about 60% of the platform — but the balance is comprised of professional investors at small and large funds, supply-side people and media people who read it.”

Rose added: “That’s exposure to something in the area of eight million people. The majority are retail investors, and that’s who you want as an investor base.

“Just ask [Nordic American Tankers chief executive] Herbjorn Hansson who is the best investor, who he wants as an investor, and he will tell you: retail.”

Rose & Co provides the shipping connection and expertise, while Seeking Alpha offers the large investor base and enhanced results for the selected company through data-base search engines.

Rose & Co launched its operations with one client in 2015 and has grown to about a dozen shipping clients and some in other sectors, Rose says.

Although he will not discuss names, his firm’s website lists Gener8 Maritime, Dorian LPG, Frontline, Golden Ocean, companies in the Navig8 group, Ocean Yield, American Shipping Co, Ship Finance International and Danaos.

Rose & Co will ensure that the selected company has the opportunity to respond to independent research articles published on the Seeking Alpha website, but Rose emphasises that there is no agreement or intent to control editorial content.