By Aimee Bohn The initial public offering (IPO) process and the direct public offering process allow companies to go public and sell shares. Direct listings have grown in popularity following a recent rule change by the SEC. Companies can now raise new capital while selling shares through direct listings.
A direct listing is cheaper than a traditional initial public offering. The big difference is that the direct process doesn’t use intermediaries. A company does not work with an investment bank, broker-dealer or underwriter. This means lower fees and regulations. But what are the benefits? How do they work? Could they become the new standard …read more
