What is an IPO: Equity Capital Markets 101 |
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Whether you are an investment banker working with the hottest new tech start up to take it public, working in private equity and 'exiting' an investment, OR you're considering a role in a startup with the goal of one day hitting it big, you must understand the critical function of IPOs (Initial Public Offering) in the lifecycle of a company.
In this video, we use two companies that exemplify the classic 'sponsor backed IPO';, Birkenstock, and 'venture backed IPO', Instacart, to answer the questions: - HOW and WHY would a company go public? - What is the role of an investment banker in the process? - What are the fees? - What is the difference between primary vs. secondary shares? - What is the difference between valuation and pricing? - What is the purpose of the IPO discount? - What is a greenshoe and why is it used? - Why should retail investors (aka you and me) think carefully before buying in. And much much more! |