An initial public offering (IPO) refers to the process of offering shares of a private corporation to the public in a new stock issuance. An Initial Public Offering (IPO) is a significant event in the life cycle of a company, marking its transition from a privately-owned entity to a publicly-traded corporation. It represents the first sale of stock by a company to the public, allowing investors to purchase shares and become partial owners of the business. IPOs provide companies with access to public capital markets, enabling them to raise funds for expansion, investment in new projects, debt repayment, or other corporate purposes.