An IPO occurs
when a company initially sells a
percentage of its shares to the
public through an offering
process.
Other terms
that related to IPOs are:
- Secondary
Offering: A sale of securities
in which one or more major
stockholders in a company sell
all or a large portion of their
holdings. The proceeds of this
sale are paid to the
stockholders that sell their
shares. Often, the company that
issued the shares holds a large
percentage of the stocks it
issues.
- Public
Offering: A sale of new shares
to the public via an
underwriting process.
Additional
Information To Come Shortly
Resources:
http://www.sec.gov/answers/ipo.htm
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