The syndicate is a group of underwriters who work together to underwrite an IPO. The syndicate is usually headed by a lead underwriter (also known as the bookrunner), who is responsible for managing the syndicate and coordinating the IPO process.

The role of the syndicate in an IPO is to share the risk of underwriting the offering and to help distribute the securities to the public.

The syndicate members each agree to purchase a certain number of shares at a specific price and then sell those shares to their clients or the public.

This helps to ensure that the IPO is fully subscribed and that the company raising capital is able to achieve its fundraising goals.

The lead underwriter has the most significant role in the syndicate and is responsible for managing the entire IPO process.

The lead underwriter typically has a closer relationship with the ISSUING company and may have been involved in the preparation of the IPO documents, such as the prospectus.

They also coordinate with the syndicate members to set the offering price, determine the allocation of shares, and manage the overall offering process.

The other underwriters in the syndicate are responsible for selling their allocated shares to their clients or the public.

Their role is to help distribute the securities to a wide range of investors and to ensure that the offering is successful.

The roles and responsibilities of the lead underwriter and other underwriters are typically determined by the underwriting agreement between the company and the underwriters.

This agreement outlines the terms of the underwriting and specifies the roles and responsibilities of each party.

The underwriting agreement also sets the underwriting fee and any other compensation to be paid to the underwriters.

In an initial public offering (IPO), a syndicate is a group of underwriters that collaborate to sell shares of the issuing company to the public. The underwriters in the syndicate typically work for investment banks and are responsible for managing the IPO process, including pricing the shares, conducting due diligence, and distributing shares to investors.

The lead underwriter in the syndicate plays a central role in the IPO process. They are responsible for coordinating the activities of the other underwriters and managing relationships with the issuing company and investors. They also typically take the largest share of the underwriting fees.

Other underwriters in the syndicate may have different responsibilities depending on their level of involvement. For example, some may focus on marketing the IPO to potential investors, while others may handle regulatory filings or provide financial analysis. The allocation of responsibilities and fees among the underwriters is typically negotiated between the lead underwriter and the other members of the syndicate based on their expertise and contribution to the IPO process.

Overall, the syndicate is crucial to the success of an IPO, as it allows the issuing company to tap into the expertise and resources of multiple investment banks to ensure a successful offering.