IPOs (Initial Public Offerings), were to a large extent introduced to the consciousness of the average Brit in the 1980s. Then Prime Minister Margaret Thatcher introduced a policy of mass privatisation of large state institutions such as British Gas, BT and British Airways, among others.
These companies were sold off by the British Government via IPOs, which gave private British citizens the opportunity to buy shares in them in the run up to them being floated on the London Stock Exchange.
Thatcher’s IPOs are credited with the creation of the UK’s ‘shareholder society’, with many British households owning company shares for the first time. Prior to these privitisations in the 1980s, owning stock in companies was not something that the average household would likely have countenanced with stock market investment considered the preserve of the wealthy and institutional investors.
Topics covered in this Guide
- What exactly is an IPO?
- Why Companies go Public?
- Timeline of an IPO and How It Works
- Advantages and Risks to Investing in an IPO
- Key Factors When Assessing an IPO
The articles are for information purposes only and Precise Investors shall not be held responsible for any errors, omissions or inaccuracies within it. Any rules or regulations mentioned within the website are those relevant at the time of publication and may not be the most up-to-date.
Precise Investors does not endorse any of the products or services that appear on it or are linked to it and are not liable for any action that you may take as a result of the content of this website, or losses or damage you may incur doing so.
There is no obligation to purchase anything but, if you decide to do so, you are strongly advised to consult a professional adviser before making any investment decisions.
Please remember that investments of any type may rise or fall and past performance does not guarantee future performance in respect of income or capital growth; you may not get back the amount you invested.