Initial public offering 1 article

An initial public offering is the transaction through which a private company first sells shares to public investors and becomes listed on a stock exchange. Biotechnology IPOs are typically used to raise equity capital for research, clinical development, manufacturing and corporate operations while creating a publicly traded ownership structure. The process involves securities registration, a prospectus, underwriting and share-price discovery, and it differs from later follow-on offerings because it establishes the company’s initial public-market listing.