Thursday, October 9, 2008

Venture capital and private equity capital and services in china

Initial public offering (IPO), also referred to simply as a "public offering", is when a company issues common stock or shares to the public for the first time. They are often issued by smaller, younger companies seeking capital to expand, but can also be done by large privately-owned companies looking to become publicly traded. Generally, the company offers primary shares this way, although sometimes secondary shares are also sold as IPOs.

China IPOs generally involve one or more investment banks as "underwriters." The company offering its shares, called the "issuer," enters a contract with a lead underwriter to sell its shares to the public. The underwriter then approaches investors with offers to sell these shares. Enter Dynasty Resources, a small company with big ambitions for reshaping the way China and the US do business.




An initial public offering (IPO) occurs when a company first sells common shares to investors in the public. Generally, the company offers primary shares this way, although sometimes secondary shares are also sold as IPOs. For a company to offer IPOs, they need to hire a corporate lawyer as well as an investment banker to underwrite the offer. The actual sale of the shares is generally offered by stock exchange or by regulators. When the company starts to offer IPOs, they are usually required to reveal financial information about the company so that investors know whether the companies a good investment or not.

China is now the fourth largest economy in the world. There was substantial growth in market capitalization and trading activities in most of the major markets. The China Initial public offerings flood, which saw many deals massively oversubscribed by frenzied investors, appeared to be a major achievement of China's financial reforms, for the first time making the stock market an important source of funding for many companies. Please visit online www.dynastyresources.net in NewYork city.

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