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प्रश्न
Initial Public Offer and Further Public Offer
उत्तर
| Initial Public Offer |
Further Public Offer |
|
1. Meaning: IPO refers to an offer of securities by an unlisted Public Company to the public for the first time. |
FPO means an offer of securities by a listed Public Company to the public to raise subsequent capital. |
|
2. Type of issuer company: It is issued by an unlisted Public Company. |
It is issued by a listed Public Company. |
|
3. When issued: It is usually issued by an existing company which wants to raise capital from the public for the first time. |
It is usually issued by a listed Public company when it wants to raise further capital from the public. |
|
4. Order of issue: IPO proceeds FPO. IPO is the first time sale of shares to the public. |
FPO is always done after IPO. FPO is the second or subsequent sale of shares to the public. |
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5. Listing: Company has to get itself listed for the first time before issuing IPO. |
Company making an FPO is already a listed company. |
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6. Risk: It is very risky for the investor as he cannot predict the company's performance. |
It is less risky for the investor as he has an idea of the company's past performance and can judge its future performance. |
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संबंधित प्रश्न
Select the correct answer from the options given below and rewrite the statement.
______ means shares are offered to the public.
In ________, shares of a company are offered to the public for the first time.
Select the correct answer from the options given below and rewrite the statement.
______ are offered to permanent employees, Directors and Officers of a company.
Write a word or a term or a phrase which can substitute the following statement.
Subsequent issue of shares after an IPO.
State whether the following statement is true or false.
Bonus Shares are issued at a discounted price to the Equity shareholders.
Answer in one sentence.
What is meant by private placement?
Answer in one sentence.
To whom is Sweat Equity Shares offered by a company?
Answer in one sentence.
What is the subsequent issue after IPO called as?
Answer in one sentence.
Name the method under which the issue price of shares is fixed through a bidding process.
Answer in one sentence.
What is Public Issue?
Correct the underlined word and rewrite the following sentence.
Under Fixed price issue method, the price of shares is fixed through bidding process
Correct the underlined word and rewrite the following sentence.
Bonus shares are offered to existing employees of a company.
Explain the following term/concept.
Further Public Offer
Answer the following question.
Explain the two methods a company can use to make its public offer of shares.
Match the pairs.
| Group A | Group B |
| a) Bond holders | 1) Deals with acquisition and use of assets |
| b) IPO | 2) Declared in Annual General Meeting |
| c) Corporate finance | 3) Any issue after first-time public offer |
| d) Final dividend | 4) Deals with acquisition and use of capital |
| e) Preference shares | 5) First-time public offer |
| 6) Fixed rate of dividend | |
| 7) Owners | |
| 8) Fluctuating rate of dividend | |
| 9) Creditors | |
| 10) Declared in board meeting |
Find the odd one.
Explain Pricing methods to offer shares to the public.
Give one word or phrase for the following sentence:
Full form of SARS.
