A company that begins the pre-IPO process generally wants to raise new growth capital prior to coming to the public market via an IPO. Usually the company will first approach its larger clients for potential backing before offering the shares to a wider group of eligible investors under s708 of the Corporations Act 2001(Cth).
When a company conducts a pre-IPO, they are unlikely to issue a prospectus which is why it is only offered to investor who are eligible under s708 of the Corporations Act 2001(Cth).
A company can start the pre-IPO process anytime from about 3 months to 18 months prior to the company’s planned listing on ASX or NSX.