Initial public offering: MIC Electronics Ltd

Project IPO deals with initial public offering, or IPO, because it is the first sale of stock by a company to the public. A company can raise money by issuing either debt or equity. If the company has never issued equity to the public, it's known as an IPO. Broadly speaking, companies are either private or public. Going public means a company is switching from private ownership to public ownership. An in depth analysis involving every process of public issue and the banes and boons of the investors and the companies is made in the following project. In the recent past ,especially after 1990's there were significant changes in the investment patterns of the urban as well as rural communities. The urban savers used to invest in the Government securities such as National Saving Certificates, Post office recurring deposits and in bank deposits. The saving community in rural segment used to invest in agriculture, gold, land, jewelry, etc. which are by and large treated as unproductive or led productive. The tremendous shift in the investment pattern is in the form of two saving communities that they started looking at the corporate world as promising investment avenue. Some progressive companies engaged in production of fertilizers, put special efforts to make farming community a part of owners group. These efforts of the agro input supplying companies and the Agro based companies yielded fruitful results and the primary market base has been expanded to vast areas of the rural India. The massive expansion of the primary markets and the increased number of players in a primary market and also the significantly improved volume of funds raised by the corporate from primary market prompted the Government Of INDIA to come out with drastic amendments to Indian Companies Act; which regulates the process of raising the funds from the primary market.