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IPO vs. Direct Listing: Knowing the Difference

IPO vs. Direct Listing: Knowing the Difference

Companies seeking to raise interest-free capital from the public mostly take the initial public offering (IPO) route to publicly list their shares on stock exchanges. The public listing represents the first instance of a company selling its shares to common investors. There are two ways to list the shares—the standard and popular IPO process, and the direct listing process.