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Investment Banking: Core Concepts
IPO Process Overview
A guide to the Initial Public Offering (IPO) process, detailing key stages, roles of participants, and the benefits and drawbacks of a private company going public. ✨
Article Points:
1
An IPO is when a private company first offers its shares to the public on a stock exchange.
2
The process involves selecting underwriters, due diligence, regulatory filings (e.g., S-1), marketing (roadshow), pricing, and stock allocation/trading.
3
Investment banks (underwriters) play a central role, advising on valuation, marketing, and guaranteeing the sale.
4
Benefits include significant capital raising, liquidity for early investors, and enhanced public image.
5
Drawbacks include high costs, loss of control, stringent regulatory burdens, and public scrutiny.
6
The IPO process is complex, time-consuming, and carries significant risks for the issuing company.
Source:
IPO Process Overview
IPO Process Overview
No Mindmap Data
Source:
IPO Process Overview
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