Initial Public Offering (IPO): When a company reaches a certain stage in its growth, it may decide to issue stock, or go public, with an initial public offering (IPO). The goal may be to raise capital, to provide liquidity for the existing shareholders, or a number of other reasons. Any company planning an IPO must register its offering with the Securities and Exchange Commission (SEC). In most cases, the company works with an investment bank, which underwrites the offering. That means buying all the shares at a set price and reselling them to the public with the expectation of making a profit.

 

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Initial Public Offering (IPO): When a company reaches a certain stage in its growth, it may decide to issue stock, or go public, with an initial public offering (IPO). The goal may be to raise capital, to provide liquidit . . . View Full Definition

Offering Date: The offering date is the first day on which a stock or bond is publicly available for purchase. For example, the first trading day of an initial public offering (IPO) is its offering date.

Secondary Offering: The most common form of secondary offering occurs when an investor, usually a corporation, but sometimes an individual, sells a large block of stock or other securities it has been holding i . . . View Full Definition

Go Public: A corporation goes public when it issues shares of its stock in the open market for the first time, in what is known as an initial public offering (IPO). That means that at least some of the . . . View Full Definition