Conditional Offer to Buy (COB)

Conditional Offer to Buy (COB)

A "COB" is the price that a customer is offering to pay for an IPO. The COB is for a range that is less than 20% above the top end of the "price range". For a secondary offering, the COB does not have a "price range" because pricing is based on, and usually near the closing price of the stock. On the effective date, we will inform you of the pending effectiveness of the offering and we will give you a 60 minute "last chance" window to withdraw or modify your conditional offer to buy. You can also withdraw or modify your conditional offer to buy at any time prior to this 60 minute notice. Once the 60 minute window passes, your conditional offer to buy becomes a valid purchase contract that cannot be canceled.

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      The "COB Price Range" is any final price that is less than 20% above the high end of the price range. As an example, a COB for an offering with a price range of $18-$20 would still be valid if the final price is below $23.99. Keep this in mind when ...

    • Withdrawal Period

      On the effective date of an IPO or Marketed Secondary Offering, investors will be given at least a 60 minute window to cancel their COB. This is "one last chance" for an investor to cancel a COB. You can also withdraw or modify your conditional offer ...

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      As long as the final price is not 20% above the "price range", your "conditional offer to buy", is still valid. As an example, an offering with a price range of $18-$20 could be priced as high as $23.99 and your "conditional offer to buy" will still ...

    • What if an IPO is priced 20% or more above or below the price range?

      If an offering prices 20% or more above the high end of the price range, your "conditional offer to buy", is no longer valid. We will send you a notice and you will have a limited amount of time, 60-90 minutes to reconfirm your order. If your order ...

    • Exchange

      An exchange platform where investors can buy and sell stock. NASDAQ and NYSE are exchanges.