IPO stands for Initial Public Offering. It is a process by which a private company becomes a public company by offering its shares for sale to the general public for the first time. The purpose of an IPO is to raise capital by selling shares to investors, which can be used to fund growth or pay off existing debts. The company’s shares are listed on a stock exchange, and they can be bought and sold by anyone who wants to trade them. The success of an IPO is often an indicator of market sentiment and can have a significant impact on the company’s future prospects.