IPO (Initial Public Offering)

A first sale of equity in a company to public investors. IPOs are governed the Securities Act of 1933, SEC (Securities Exchange Commission) regulation, and differing state laws. An IPO is one way to raise money for further investment or expansion, the other being the issuing of debt in the form of bonds. A company can issue more equity at a later date but it only has one IPO.

Leave A Comment

You must be logged in to post a comment.