Public Offering

Dictionary Says

Definition of 'Public Offering'

The sale of equity shares or other financial instruments by an organization to the public in order to raise funds for business expansion and investment. Public offerings of corporate securities in the U.S. must be registered with and approved by the SEC and are normally conducted by an investment underwriter.
Investopedia Says

Investopedia explains 'Public Offering'

Generally, any sale of securities to more than 35 people is deemed to be a public offering, and thus requires the filing of registration statements with the appropriate regulatory authorities. The offering price is predetermined and established by the issuing company and the investment bankers handling the transaction. The term public offering is equally applicable to a company's initial public offering, as well as subsequent offerings.

Related Definitions

  • Going Public

    The process of selling shares that were formerly privately held to new investors for the first time. Otherwise known as an initial public offering (IPO).
    Read More »
  • Initial Public Offering - IPO

    The first sale of stock by a private company to the public. IPOs are often issued by smaller, younger companies seeking the capital to expand, but can also be done by large privately ...
    Read More »
  • Public Offering Price - POP

    The price at which new issues of stock are offered to the public by an underwriter. Because the goal of an IPO is to raise money, underwriters must determine a public offering price that ...
    Read More »
    • Underwriting

      1. The process by which investment bankers raise investment capital from investors on behalf of corporations and governments that are issuing securities (both equity and debt). 2. The ...
      Read More »
    • Subsequent Offering

      An offering of additional shares after the issuing company has already had an initial public offering (IPO).
      Read More »
    • Secondary Offering

      1. The issuance of new stock for public sale from a company that has already made its initial public offering (IPO). Usually, these kinds of public offerings are made by companies ...
      Read More »
    • Securities And Exchange Commission - SEC

      A government commission created by Congress to regulate the securities markets and protect investors. In addition to regulation and protection, it also monitors the corporate takeovers ...
      Read More »
    • 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 ...
      Read More »
    • Shelf Registration

      A regulation that a corporation can evoke to comply with U.S. Securities and Exchange Commission (SEC) registration requirements for a new stock offering up to three years before doing ...
      Read More »
    • SEC MEF Filings

      SEC filings that concern registration of up to an additional 20% of securities for an offering, pursuant to the 1933 Securities Act Rule 462(b). SEC MEF Filings may apply to 1933 Act ...
      Read More »

Articles Of Interest

Partner Links