What is an IPO?
An IPO refers to “Initial Public Offering”, in which a private corporation offers share to the public for the very first time in a public issuance. Thus, it allows a company to raise money from public investors. The shares which were privately held by investors are now held by retail investors, institutions, promoters etc. When a company makes an IPO the share of the company become widely available to the shareholder and there is a change in the shareholding pattern.