Simcountry
Forum Help Question about IPOs and Selling/Buying Shares

Question about IPOs and Selling/Buying Shares

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ChuntasticMcChun
11 Oct 2012 06:37 Link
Sorry if this seems like a stupid question, when a corporation owner sells shares of a corp, to whom does that money go? I assumed at first that it went to the corporation's "cash available now" figure, but after selling some shares of my country's corporation (Kaliwaenia Wood 1A) that figure didn't increase, and I made sure they had sold when I checked. Does it go to the corporation owner rather than the corporation itself?
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Crafty
11 Oct 2012 22:34 Link
Yep, the owners, so an initial ipo means the cash goes to the country or enterprise.
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ChuntasticMcChun
11 Oct 2012 23:04 Link
Ah, so as far as strategy goes, there's really no reason to have a corporation go public unless the country or enterprise needs the immediate cash? Or would there be reasons other than that as well?
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Crafty
11 Oct 2012 23:13 Link
There's another thread started in the beginners forum about this subject exactly.

Go look there please, as I cant be bothered to type it all out again. And there are other opinions too.
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ChuntasticMcChun
13 Oct 2012 21:59 Link
Thanks for always being so helpful Crafty. :)