What is the Full Form of IPP in the Share Market?

The IPP’s Full Form in the Share Market is the Institutional Placement Program. This is a program used by the listed companies to increase their capital, either by issuing new shares or selling the existing shares to institutional investors. This is an efficient way of raising funds without having to go through the time consuming and cumbersome process of a public offer.

Features of IPP:

Institutional placement programs serve as an excellent alternate fundraising avenue for companies to secure capital without having to go through the IPO process. It can tap into a wider investor base, thus rendering expedited funds, flexibility in raising capital, and better control over the structure of shareholding.

Advantages of Institutional placement program:

The institutional placement program allows companies to tap into a broader pool of potential investors. This could be of tremendous advantage for businesses with limited access to traditional capital markets. IPP also helps companies with greater flexibility in terms of the amount of capital raised and the timing of the placement. Also, unlike IPOs, whose shares are traded publicly on stock exchanges, companies can have greater control over IPPs.