The final stage of any IPO is listing of the company’s shares.
The term listing of an IPO refers to a company’s shares being made available on stock exchanges. This allows the company’s shares to be regularly bought and sold in the secondary market.
Benefits of listing
There are multiple benefits of listing shares on stock exchanges:
a. It allows companies to raise capital from secondary market as investors regularly buy and sell the company’s shares.
b. Increasing public participation in the company’s share capital.
c. Increasing the liquidity of shares in the open market and benefiting the existing shareholders or promoters.
d. Increasing the credibility of the company
e. Increasing market presence and attracting potential investors in the company
