An initial public offering (IPO) is when a company offers its shares to the public for the first time. This is a significant event in the life of a company, as it provides access to a larger pool of investors and can greatly impact the company's financial standing. It is typically done to raise capital for the company's growth and expansion. An IPO is a complex process that involves regulatory requirements, valuation, and underwriting. It is an important concept to understand in the world of finance and can greatly impact the stock market.