FPO

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CS Richa Sharma

CS Richa Sharma (Querist)

06 August 2010 What is FPO? how is it different from IPO?

CA Sanat Pyne

CA Sanat Pyne (Expert)

06 August 2010 i assume that u understand IPO per se. IPO is raising funds from public for the very first time(by sharing the ownership with them) while issuing more shares in the public for the want of more funds is called FPO. ICICI Bank's recent FPO is a case in point. promoter'ds stake comes down after each IPO/FPO.

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)

06 August 2010 IPO - stands for Initial Public Offering. When the company raises fresh capital from the public for the first time.

FPO - stands for Follow On Public Offer. When the company raises capital after an IPO has already been made and shares of company are held by public and are already listed on the stock exchange.

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VINOD ARORA

VINOD ARORA (Expert)

06 August 2010 The basic difference between Initial Public Offer (IPO) and Follow on Public Offer (FPO) is as the names suggest IPO is for the companies which have not listed on an exchange and first time/initially go to market whereass FPO is for the companies which are already listed on exchange and want to raise further funds by issuing some more equity shares.

CS Richa Sharma

CS Richa Sharma (Querist)

06 August 2010 Thanks to all experts.

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