A secondary offering is the proposed sale of previously issued securities held by investors to other prospective investors.
After BigRed’s stock price rose by 10%, its founder, Sean O’Connor, made a secondary offering of his personal stock worth approximately $1.2 billion.
Secondary offering, also called secondary market offering and secondary distribution, is made on a secondary market. It differs crucially from an initial public offering (IPO) in that the money from sale of the securities does not go to the issuer (as is the case for the IPO), but to the investor holding the shares. Typically only sales by large or institutional investors are considered secondary offerings. Secondary offering is also sometimes referred to as secondary issue, although this term can confusingly be used also for a follow-on offering, which is a company’s issuing additional securities after it has already made its initial public offering.
Sekundární nabídka je nabízený prodej dříve vydaných cenných papírů, které drží investoři, dalším potenciálním investorům.
Poté, co cena akcií společnosti BigRed vzrostla o 10 %, její zakladatel Sean O’Connor podal sekundární nabídku svých osobních akcií v hodnotě přibližně 1,2 miliardy dolarů.
Sekundární nabídka, také nazývaná nabídka na sekundárním trhu, se provádí na sekundárním trhu. Zásadní odlišnost od primární emise akcií tkví v tom, že peníze za prodej cenných papírů nejdou emitentovi (což je případ IPO), ale investorovi, který akcie držel. Typicky jsou za sekundární nabídky považovány jen prodeje velkých a institucionálních investorů. Sekundární nabídky se také nazývají sekundární emise, ačkoli tento termín se může také používat pro následnou nabídku, což je emise dalších cenných papírů společnosti, která už provedla svou primární emisi akcií.
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Simply subscribe to receive our Business Term of the Day at no charge to your inbox each business day, with explanation in English and Czech.