When a private company needs larger funds to expand their business, they can do so via a IPO. IPO stands for Initial Public Offering, which is the process by which a private company raises capital by selling shares of its stock to the public for the first time. In an IPO, the private company becomes a public company, and its shares can be bought and sold by anyone on a stock exchange like BSE or NSE.
Once the registration statement is approved by Securities and Exchange Commission, the company can set the offering price for its shares and begin selling them to the public. The offering price is typically determined based on a variety of factors, including the company's financial performance, industry trends, and investor demand.
Investors may buy the shares via IPO or they may buy the shares later via secondary market. Investing in an IPO can be risky, as the price of the shares may not perform as expected. Also at that point, there is no historical price data avalable using which you may do technical analysis or chart analysis. It's important for investors to do their own research and consult with a financial advisor before making any investment decisions.
Once the registration statement is approved by Securities and Exchange Commission, the company can set the offering price for its shares and begin selling them to the public. The offering price is typically determined based on a variety of factors, including the company's financial performance, industry trends, and investor demand.
Investors may buy the shares via IPO or they may buy the shares later via secondary market. Investing in an IPO can be risky, as the price of the shares may not perform as expected. Also at that point, there is no historical price data avalable using which you may do technical analysis or chart analysis. It's important for investors to do their own research and consult with a financial advisor before making any investment decisions.