What does Bookbuilding mean?

Bookbuilding meaning in Finance Dictionary

whenever a business is mostly about having a unique problem of stocks (perhaps an IPO), its advisers assess the need from fund managers to establish what number of shares they've been enthusiastic about taking and also at what price. Referred to as bookbuilding, its function is help the organization look for an offer cost that guarantees the new problem is prosperous. The bookbuilding process will start almost a year ahead of the business floats, but begins in earnest in week or two ahead of launch.