Viewing a single comment thread. View all comments

sparklybeast t1_izetea3 wrote

I have never heard of an IPO. I Googled and I'm still none the wiser lol.

15

CUJO-31 t1_izeuhgp wrote

Initial public offering, when a company goes from private to public by issuing stocks.

You create a company which you own a 100% of, but you need to raise more money. You have three primary options.

1- get a loan 2- sell a company to a private investor for a portion of your company. 3- chop up your ownership into tiny bits and sell a portion of it to the public via a stock exchange, anyone can buy and sell it. The first time it hits the market is called IPO.

36

inhocfaf t1_izh4hqs wrote

>You create a company which you own a 100% of, but you need to raise more money.

Highly unlikely. Probably do many rounds of unregistered exempt offerings well before an IPO.

1

CUJO-31 t1_izeui16 wrote

Initial public offering, when a company goes from private to public by issuing stocks.

You create a company which you own a 100% of, but you need to raise more money. You have three primary options.

1- get a loan

2- sell a portion of your company to a private investor.

3- chop up your ownership into tiny bits and sell all or a portion of it to the public via a stock exchange, anyone can buy and sell it. The first time it hits the market is called IPO.

11

sparklybeast t1_izewt74 wrote

Thanks. So are they different from a PLC?

0

Thegoodlife93 t1_izf3vl5 wrote

Yes, entirely. An IPO is an event. A PLC is a classification of company.

3

sparklybeast t1_izf58vc wrote

Ahhh, ok, that makes more sense, thank you. So the figures on the chart are the value of the company's shares when it was first listed?

3