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What is an IPO?

Published On: Feb 02 2012 08:49:10 AM PST   Updated On: May 15 2012 07:53:56 AM PDT

What is an IPO and what does it mean for a company? Read on to find out.

Money
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Rick Wilking/Reuters

After deciding the band, bids are invited on all prices of the band. Once the book is closed, the seller fixes the price at which all of its shares will get sold.

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