Categories: IPO

Issue Price

The term issue price refers to the price at which shares are offered to the public for subscription in an IPO, i.e., the first time that they are accessible to the public. In a fixed price IPO, the issue price is declared by the company whereas, in a book built issue, the company provides the price band and investors can bid within the same to subscribe for the company’s shares.

Difference between the issue price and listing price

The issue price is the price at which the shares are issued to the eligible class of investors for subscription in an IPO. The listing price on the other hand is the price at which the shares are listed on the stock exchange.

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