An IPO is…

October 5th, 2009

An IPO or “initial public offering” is when private companies become public by making shares of their stock available to the public for the first time. Companies do this for lots of reasons including raising money, changing owners, to have a public currency to buy other companies, and/or to create an incentive for employees. After the IPO the public can buy shares of the company as they are now publicly traded.

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