Q.Initial Public Offer and Further Public Offer

IPO is a company's very first public offer of shares (it becomes listed through it); FPO is a subsequent public offer by an already-listed company that wants to raise more capital.

A public issue means offering securities to the general public for subscription. Depending on whether the company is entering the market for the first time or coming back for more funds, a public issue is classified as an IPO or an FPO.

Initial Public Offer (IPO): When an unlisted company offers its shares to the public for the very first time, it is called an IPO. Through the IPO the company gets its shares listed and traded on a stock exchange for the first time. It is used mainly to raise capital for growth and to give the company a public market for its shares.

Further Public Offer (FPO): When a company that is already listed makes an additional offer of shares to the public, it is called a Further (or Follow-on) Public Offer. The company is already known to the market, so investors can judge it from its existing performance and market price.

| Basis | Initial Public Offer (IPO) | Further Public Offer (FPO) |

| --- | --- | --- | …