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INITIAL PUBLIC OFFERING

Team members : Manjunath B


Siddhalingesh S
Lingaraj A
INTRODUCTION
An IPO referred to as an offering is a
process where a company issues shares to the public for
the first time.
They are often issued by smaller, younger
companies seeking capital to expand, but can also be done
by large privately owned companies seeking to became
publically traded.
WHY COMPANY DO AN IPO ?
To raise funds for financing capital
To finance increased working capital needs
For debt repayment
Listing provides liquidity to the existing share holders
Establish value of the firm
Exposure, prestige & public image
DIS-ADVANTAGES OF IPO
Its very expensive
Ongoing requirement to disclose financial & business
information
Public pressure
IPO PROCESS
Nominate Investment bank
Draft Red herring prospectus
Distribution IPO application forms
Book building process
THANK YOU