PERFORMANCE ANALYSIS OF SELECTED IPOs OF PHARMACEUTICAL SECTOR

PERFORMANCE ANALYSIS OF SELECTED IPOs OF PHARMACEUTICAL SECTOR

SUBMITTED BY:

NILESH JAISWAL

SY-C, 2222

20020621307

SUBMITTED TO:

SAMEERA RAEES

INTRODUCTION

Initial public offering (IPO) is the process through which a private firm or company can become public by selling its stocks to general public. They are often issued by a new, young company seeking capital to expand or may be a well-established corporation which decides to be listed on stock market and therefore becomes public.

During the process of issuing an IPO, An underwriting business may assist an issuer in determining what type of securities to issue (common or preferred), the optimal offering price, and the best time to bring it to market. In India, IPOs are conducted using a variety of strategies, including the book-building approach, the fixed-price method, or a combination of the two. The Issuer of the IPO appoints a merchant banker as a book runner. The firm making the Initial Public Offering (IPO) determines the quantity of shares it will issue as well as the price range in which the shares will trade.

IPOs provides liquidity to the investments of entrepreneurs, so a strong IPO market can assist grow new companies by stimulating the flow of pre-IPO investments. An IPO attracts new investors to a company, allowing it to access future growth capital. Going public minimizes the costs of raising future capital by boosting the flow of information from the investment community.