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