A gradually recovering economy has Newport Beach-based Roth Capital Partners LLC expecting the largest turnout yet for its yearly three-day Roth Orange County Growth Stock Conference in Dana Point.
Executives from more than 430 companies and more than 1,000 investors are set to descend on South County this week for one-on-one meetings, funding pitches and nightly entertainment during the 23rd annual edition of the conference.
2,500 Attendees
Roth Capital, the county’s largest independent investment bank, expects more than 2,500 attendees from hedge funds, mutual funds and large corporate investment groups at the Ritz-Carlton, Laguna Niguel.
“This will be our largest ever,” said Ted Roth, the company’s president.
He credits the attendance boost to a recovering economy, the stock market’s resurgence and the picturesque setting of the conference.
“Over the last year, the interest level and valuations have grown and people are generally optimistic about the economy and the market,” Roth said.
A brutal winter in the Midwest and East Coast certainly didn’t hurt. Sunny beaches and warm temperatures tend to attract attendees from harsher climates.
About half of the attendees are from outside California, with the Northeast sending more than a quarter of the total.
Most investor conferences are in money centers such as New York, Chicago or Boston, where participants come for a few hours and leave, Roth said.
That rarely happens at the Roth conference, he said.
“Here it is a destination—it’s a good time of year,” Roth said.
Some 150 to 200 executives representing 70 presenting companies from China are set to take part, which should provide a boost for local businesses during a slower time of year.
Some 100 Chinese companies are expected to attend in all.
A typical contingent from China is larger than those of domestic companies taking part in the conference, according to Roth.
The company estimates that 3,000 hotel rooms will be booked at luxury resorts and business hotels for the conference.
Dana Point’s Doubletree Guest Suites Doheny Beach is sold out, according to Roth.
The conference has become known as much for its entertainment as presenting companies. Sources familiar with the conference said 1980s rocker Joan Jett is the headliner Monday night. Rapper, singer and songwriter Pitbull will take the stage Tuesday night.
Eighteen companies based in Orange County are set to present this year, including Foothill Ranch-based mall retailer Wet Seal Inc.; Huntington Beach’s BJ’s Restaurants Inc., which runs some 100 casual restaurants serving deep-dish pizza, pasta, salads, steak and sandwiches; and Newport Beach-based Acacia Research Corp., which specializes in acquiring patents, striking licensing deals and collecting a cut of royalties from companies that appear to be infringing on them.
Irvine-based medical device maker Masimo Corp. is set to make its third appearance at the conference after debuting in 2009.
Irvine chipmaker Broadcom Corp. is set to make another appearance as well.
San Clemente-based medical device maker ICU Medical Inc. is set to be among the 135 healthcare companies at the conference.
Rebound
The economy has had a big effect on Roth attendance through the years.
In early 2009, amid the recession, about a quarter fewer institutional investors attended and about half as many companies—200—made presentations, according to Roth.
There was a rebound last year and the momentum has carried into this week’s conference.
The real attraction for many investors is the one-on-one meetings, according to Roth.
“They allow them an opportunity for independent discussion with companies,” he said. “They are starting to look more on the growth and valuations as opposed to a defensive posture. This is an opportune time to invest.”
