Tumgik
niveshquest24 · 3 months
Text
What is an IPO?
An Initial Public Offering (IPO) is a financial process through which a private company transitions into a public company by offering its shares to the general public for the first time. This involves the issuance of new shares to investors, allowing the company to raise capital directly from the public. The IPO enables the company to access public markets and diversify its sources of funding. Additionally, it provides existing private shareholders the opportunity to sell their shares to the public, allowing them to realize the value of their investments and potentially trade their shares on stock exchanges. Overall, an IPO is a significant milestone for a company, facilitating increased visibility, liquidity, and financial resources.
6 notes · View notes