What is the full form of DRHP?

What is the full form of DRHP?

The full form of DRHP is “Draft Red Herring Prospectus”. It is a document that is prepared to introduce a new business or product to a potential investor. The DRHP is a document that is used as a loose framework for the initial stages of the IPO process. The document clarifies the reason why the company wants to raise money from the public, how the money will be used and risks involved in investing in the company. DRHP document is very useful to investors because it provides detailed information about the company’s business operations, financials, promoters and the company’s objective for raising funds by filing an IPOs. It should be noted that the DRHP does not contain information on the price or size of the offering.