- preemptive right
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The right of shareholders to maintain a constant percentage of a companys shares by receiving a proportionate fraction of any new shares issued, thus preempting any dilution
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preemptive right
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preemptive right — n 1: right of first refusal 2: the right of a shareholder to buy shares of newly issued stock in proportion to existing holdings before a public offering is made in order to prevent dilution of ownership interest or seizure of majority control by … Law dictionary
Preemptive right — Common stockholder s right to anything of value distributed by the company. The New York Times Financial Glossary * * * preemptive right preemptive right ➔ right … Financial and business terms
preemptive right — common stockholder s right to anything of value distributed by the company. Bloomberg Financial Dictionary * * * preemptive right preemptive right ➔ right … Financial and business terms
Preemptive Right — A privilege extended to select shareholders of a corporation that will give them the right to purchase additional shares in the company before the general public has the opportunity in the event there is a seasoned offering. A preemptive right is … Investment dictionary
preemptive right — The privilege of a stockholder to maintain a proportionate share of ownership by purchasing a proportionate share of any new stock issues. An existing stockholder in most jurisdictions has the right to buy additional shares of a new issue to… … Black's law dictionary
preemptive right — noun the right granting to shareholders the first opportunity to buy a new issue of stock; provides protection against dilution of the shareholder s ownership interest • Hypernyms: ↑preemption, ↑pre emption * * * noun : the right of existing… … Useful english dictionary
preemptive right — a privilege given to an existing shareholder to buy a portion of a new stock issue at the offering price on a pro rata per share basis. [1850 55] * * * … Universalium
right — / rīt/ n [Old English riht, from riht righteous] 1 a: qualities (as adherence to duty or obedience to lawful authority) that together constitute the ideal of moral propriety or merit moral approval b: something that is morally just able to… … Law dictionary
right of first refusal — right of first re·fus·al / ri fyü zəl/: the right to have the first opportunity to purchase property upon the owner s decision to sell at the same terms offered by a third party or at predetermined terms – called also preemptive right; Merriam… … Law dictionary
preemptive rights — n. The right of someone who already holds shares of stock in a company to purchase additional shares of a new issue before they are made available to others. The Essential Law Dictionary. Sphinx Publishing, An imprint of Sourcebooks, Inc. Amy… … Law dictionary
