What is an IPO? (Initial Public Offering) An IPO (Initial Public Offering) is when a private company offers its shares to the public for the first time in order to raise capital. Through an IPO, the company becomes publicly traded , allowing investors to buy and sell its shares in the stock market (NSE & BSE in India) . Example: Reliance Industries, Infosys, TCS, Zomato, Paytm, and Nykaa were once private companies. They launched their IPOs to raise money from the public and got listed on stock exchanges. Why and When Does a Company Issue an IPO? A company issues an IPO mainly to raise funds for growth and expansion . Reasons for IPO: Raising Capital – To fund new projects, pay off debts, or expand business. Increasing Public Awareness – Being a public company increases brand value and reputation. Liquidity for Early Investors – Founders and early investors can sell their shares. Stock Exchange Listing – Once listed, the company gets access to more investors. When Does...