What are importance of ipo?

Question

What are importance of ipo?

Answer 1

IPO stands for Initial Public Offer.

With an IPO, a company tries to enter into the capital market.  Raising the capital for the company's operations is the major motive for going for an IPO.

Answer 2

When a company goes "public" and offers its stock, it lends some prestige and legitimacy to the business. The IPO raises funds for the company then to grow.

Answer 3

The first time a company sells shares of its stock to the public. Also known as going public, an IPO can generate funds for working capital, debt repayment, acquisitions, and a host of other uses.

Answer 4

IPO stands for :

I - Inflation

P - Politics

O - Oil (crude)

All 3 are bringing the market down.