Book building is the process related to an IPO in which an underwriter aims to derive at an offer price for an IPO, set in line with demand from institutional investors.

The book is ‘built’ by an underwriter receiving buy instructions from investors such as fund managers on the number of shares they would like to purchase as part of the IPO as well as the price they are willing to pay.

Accelerated book building is conducted on a much quicker scale – associated with no promotion or marketing and usually the book build is completed within two days to allow the respective company gain access to funds quickly.