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Chapter 7

Chapter 7

Chapter 7

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7-29<br />

Initial Public Stock Offerings<br />

IPO’s offer a way to raise<br />

capital through the sales of<br />

federally registered and<br />

underwritten shares of the<br />

company<br />

Advantages include raising<br />

more capital, reducing debt<br />

and enhancing net worth<br />

Disadvantages include the<br />

expense, time, and effort<br />

involved; along with the<br />

tendency to become more<br />

interested in the stock price<br />

and capital gains<br />

Return

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