Initial Public Offering (IPO)

An initial public offering (IPO) refers to the first time a company publicly sells shares of its stock on the open market. It is also known as "going public."

The proceeds from the sale of stock shares in an initial public offering provide the issuing company with capital. For this reason, many start-up companies issue IPOs because they're seeking a source of capital to fund growth.

IPOs are introduced to the market by an underwriting investment bank, which aids the issuing company by soliciting potential investors. In addition, the underwriter helps the issuing company to settle on the price at which the stock should be offered to investors.

IPOs represent the first time an issuing company will financially benefit from the public sale of its stock.

For a company, the capital earned from selling its shares to the public act can act as a major boost the business' growth, making the idea of an initial public offering attractive. A lack of historical data combined with a usually limited history behind the company can make purchasing recently issued shares more risky.

Issue management and Post Issue Service(IPO)

IPO (initial public offering) is the first sale of a company’s shares to the public, leading to a stock market listing. This is done by listing the shares on a stock exchange of the company's choosing such as the London Stock Exchange.

An IPO is also referred to as a public offering; this is a sale of securities to the general public, rather than directly to select institutional or large investors (as in private placement).

AFCCL Capital Markets Group is an integrated team of professionals who provide advisory services to Companies raising capital and/or listing their securities in Bangladesh. We will support you from beginning to end, ensuring the most efficient process and help you maximize the value of your IPO.

The team would act as an independent and experienced adviser throughout your IPO process. We will assist you on various IPO considerations such as tax structuring, requirements to list in significant capital markets around the world, insights on financial and reporting controls and other such considerations. Our specialists are drawn from Corporate Finance, Assurance and Tax and have successfully completed deals even in difficult markets. They understand all the challenges facing a company when it decides to go down the IPO journey.

As a first step, our team could work with you to assess whether your company is ready for an IPO. Through an IPO Readiness diagnostic we would highlight the existing or potential deficiencies that need to be addressed by your company to meet the guidelines and compliances expected of a public listed company.

The combination of our specialized team and capital markets experience gives us confidence that we can deliver the most valuable and cost effective solutions to you to enable a seamless and efficient IPO process.