IPO

IPO stands for Initial Public Offering. It is the process through which a private company offers its shares to the public for the first time, allowing it to raise capital from public investors. This transition from a private to a public company typically involves the issuance of new stocks, which can be bought and sold on a stock exchange. An IPO provides companies with access to a wider pool of investment capital and can enhance their credibility in the marketplace. Additionally, it offers early investors and founders an opportunity to sell their shares and realize returns on their investments. After the IPO, the company’s shares are traded publicly, subject to market fluctuations and regulatory requirements.