Primary Offering

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Dictionary Says

Definition of 'Primary Offering'

The first of  issuance of stock for public sale from a private company. This is the means by which a private company can raise equity capital through the financial markets in order to expand its business operations. This can also include debt issuance.

Also known as an "initial public offering" (IPO).
Investopedia Says

Investopedia explains 'Primary Offering'

A primary offering is usually done to help a young, growing company expand its business operations, but can also be done by a mature company that still happens to be a private company. Primary offerings can be followed by secondary offerings, which serve as a way for a company that is already publicly traded to raise further equity capital for its business. After the offering and the receipt of the funds raised, the securities are traded on the secondary market, where the company does not receive any money from the purchase and sale of the securities they previously issued.
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'Primary Offering'

  • Series 7 Study Guide - Securities Markets - Primary Market for ...

    http://www.investopedia.com/exam-guide/series-7/securities-markets/primary-bond-market.asp
    In this section Trust Indenture Act of 1939, primary offering process for bonds,
    syndicate procedures, muni allocation and secondary marketplace. ...

  • Series 7 Study Guide - Securities Markets - Primary Market ...

    http://www.investopedia.com/exam-guide/series-7/securities-markets/primary-market.asp
    ... are the key players in the primary market process: Issuer: The corporation,
    municipality, government agency or investment company offering securities for sale ...

  • When you buy a stock in a company, does it necessarily mean that ...

    http://www.investopedia.com/ask/answers/167.asp
    ... This initial or primary offering is usually underwritten by an investment bank that
    will take possession of the securities and distribute them to various ...

  • After an initial public offering, does a company profit from ...

    http://www.investopedia.com/ask/answers/05/pricechangeaffectcompany.asp
    ... at the specified offering price, the company receives their cash. In the secondary
    market, investors who originally bought the issue in the primary market sell ...

  • A Look At Primary And Secondary Markets

    http://www.investopedia.com/articles/02/101102.asp
    ... first time. For our purposes, you can think of the primary market as being
    synonymous with an initial public offering (IPO). Simply ...

  • The Rise Of The Modern Investment Bank

    http://www.investopedia.com/articles/08/investment-banks.asp
    ... Underwriters seek to have the offering oversubscribed (create more demand than
    available shares). ... The new issue market is called the primary market. ...

  • Dow Theory: The Three Phases Of Primary Trends | Investopedia

    http://www.investopedia.com/university/Dowtheory/Dowtheory3.asp
    ... Primary Upward Trend (Bull Market) The Accumulation Phase The first stage of ... into
    the market, thereby limiting downside risk and offering attractive valuations ...

  • Series 7 Study Guide - Securities Markets - Secondary Offerings ...

    http://www.investopedia.com/exam-guide/series-7/securities-markets/secondary-shelf-distribution.asp
    ... is established, more investment banks want to participate in the offering, a broader ...
    Next: Primary Market for Bonds ยป. Tweet. Email Email. Print Print. Order ...

  • The Defined-Benefit Plan's Many Problems

    http://www.investopedia.com/articles/retirement/10/demise-defined-benefit-plan.asp
    ... Defined-Benefit Plan.). Inaccurate Estimates The primary issue associated with offering
    a DB plan begins with the estimation of the employee's pension benefit ...

  • How An IPO Is Valued

    http://www.investopedia.com/articles/financial-theory/11/how-an-ipo-is-valued.asp
    ... (For more, see A Look At Primary And Secondary ... IPO stocks couldn't justify a high
    offering valuation when existing stocks were trading in value territory, so ...

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