THE PROBLEMS OF DEVELOPMENT OF INITIAL PUBLIC OFFERING IN THE CZECH REPUBLIC

Abstract

Funding development of the company through the “Initial Public Offering” has a high representation globally, the Czech Republic unlike, and belongs to traditional methods of raising funds necessary for development of business in the developed capital markets. Under the conditions of the Czech capital market this way funding of development of the company, connected with its entering into the capital market, is not very usual. The paper introduces the results of an analysis identifying the causes of the low numbers of IPOs in the Czech Republic. In order to reach the objective, the secondary research of the literature sources, focused on the issue in question and the primary research in the Czech companies was carried out. The paper was written with the financial support of the Czech Science Foundation (Grant Agency of the Czech Republic), grant project No. 402/09/P134 “Decision Model of Company Financing via IPO”.