According to Indian Trade Portal, Initial Public Offering, or IPO, is a way for a company to get listed on the Stock Exchange and raise money from investors for future projects. Or, an Initial Public Offer, or IPO, is when securities are sold to the public for the first time on the primary stock market.
According to Indian Trade Portal and From an investor’s point of view, an IPO gives them the chance to buy shares of a company directly from the company at a price they choose (in book-build IPOs). There is often a big difference between the price a company sets for its shares and the price investors are willing to pay for them. This gives investors who buy shares in an initial public offering (IPO) a good return.
From a company’s point of view, an IPO helps them figure out what their real value is, which is decided by millions of investors once their shares are listed on stock exchanges. IPOs also give companies money to help them grow in the future or pay off debts.