A new public equity issue from a company with public equity previously outstanding is called a(an)
A)initial public offering (IPO).
B)American depository receipt (ADR).
C)seasoned equity offering (SEO).
D)private placement.

Question

Quizplus · Accepted Answer

A seasoned equity offering (SEO) is a new public equity issue by a company that already has public equity outstanding. An initial public offering (IPO) is the first issuance of public equity by a private company. An American depository receipt (ADR) is a certificate issued by a US bank that represents shares of a foreign company's stock. A private placement is a sale of securities to a limited number of investors without registration with the SEC.

A New Public Equity Issue from a Company with Public