Comparison of Panama IPO Market to Us Market

INTRODUCTION

This paper has the purpose of presenting the reader with a brief overview of an Initial Public Offering (IPO) performed in the republic of Panama.

The Initial Public Offering process is complex and has significant consequences for a publicly held company.

We will focus in describing the processes of registration and issuance of IPO’s and all the parties involved in the process.

Unfortunately, the securities market in Panama is in a developing phase, evolving towards a more dinamic state that reflects the economic reality, globally as well as domestically.

1. WHAT IS A INITIAL PUBLIC OFFERING OF SECURITIES

The Initial Public Offering is a process whereby an issuer registers its securities at the National Securities of Commission (CNV) and offers them to the public.

An offer or sale made to persons domiciled in the Republic of Panama will be considered to have been made in the Republic of Panama, regardless of whether it was made from the Republic...