We can help.
Initial Public Offering
An initial public offering (IPO) refers to the process of offering shares of a private corporation to the public in a new stock issuance for the first time. An IPO allows a company to raise equity capital from public investors.
Direct Listing
In a direct listing, also known as a direct placement, a company lists its shares on an exchange without the use of an investment bank or other intermediary. In a direct listing, insiders sell their shares straight to the public, and the company may decide to raise capital by selling stock, too. But only in 2020 did the Securities & Exchange Commission (SEC) begin allowing companies to raise capital using a direct listing.
For investors buying stock after the company is public, there’s little difference whether the company went public via an IPO or direct listing. Instead, investors should pay careful attention to the prospectus and other documents filed with the SEC, and understand the risks presented by an investment in the company’s stock.
UpListing
A stock uplisting is when a stock goes from being listed on the OTC markets to a major exchange (like the Nasdaq or New York Stock Exchange). OTC markets are broker-dealer networks that tend to be volatile. Trading on a standard exchange often means more trading volume, less volatility, and more liquidity.
Dual Listing
Dual listings allow companies to be listed on multiple stock exchanges. Usually, the process works with international companies that have presences in multiple markets. Companies that engage in dual listings benefits from the opportunity to raise more capital and increase their investment base.
Cross Listing
Cross-listing is the listing of a company’s common shares on a different exchange than its primary and original stock exchange. Companies must meet the exchange’s listing requirements in order to be cross-listed.
Delisting
Financial standards include the ability to maintain a minimum share price, financial ratios, and sales levels. When a company does not meet listing requirements, the listing exchange issues a warning of noncompliance. If noncompliance continues, the exchange delists the company’s stock.
