The process used to discover an issue price through investor bids.
Bookbuilding
The IPO price is ₹100. After listing, the price falls to ₹80. The Stabilising Agent has enough shares available to support the price. What action should it take?
BUY
The IPO price is ₹100, but after listing the price falls sharply to ₹60. What should the Stabilising Agent do?
BUY
The first time a company offers its shares to the public.
IPO
The IPO price is ₹100, after listing it rises to ₹105. Does the Stabilising Agent need to Excercise Greenshoe Option
NO
The person appointed to manage the post-listing price stabilisation process.
Stabilising Agent
The maximum percentage of additional shares generally permitted under this mechanism
15%
The person from whom shares may be temporarily borrowed for over-allotment.
Promoter
TechStart's IPO is ₹100. After listing, the price falls to ₹60. The Stabilising Agent buys shares from the market. What is the Agent trying to achieve?
STABILISE
The market where a company first sells newly issued shares to investors.
Primary Market
What is the term for shares temporarily taken from existing shareholders for use in a Green Shoe over-allotment?
Borrowing
The additional shares allotted beyond the original issue size.
Over allotment
The range between the lowest and highest price at which investors can bid in an IPO.
Price Band
The final price at which an IPO is offered after the bidding process.
Cutoff
What is the market for buying and selling of already-issued shares among investors?
Secondary