What is a Secondary or Follow-On Offering? How do they work?
A Secondary or Follow-on Offering is when an already public company registers additional shares. The shares could be newly issued by the company to raise additional capital or a sale by an existing shareholder, or both. A Marketed Secondary Offering is marketed for 3 to 5 days and then priced. In an overnight offering, or sometimes called a Spot Secondary Offering, the offering is announced and priced right after the market closes. Most Secondary Offerings are priced below the closing price of the stock to create an incentive for investors.
In a Marketed Secondary, you will have several days to place an order. In an overnight or spot offering, you will only have 60-90 minutes to place an order. If you recieve any Secondary Offering shares, they will be allocated to you, and appear in your account before the market opens the next morning.
When an already public company sells or registers additional shares in the public market. These offerings typically have a trading history and valuation set by the market. Secondary Offerings come in different forms, and are often completed in hours ...
An Offering refers to any public offering, whether IPO or Secondary, in which the offering will be made available in the public markets.
"A type of Secondary Offering that is announced right after the market closes. The offering is usually priced and customers must place orders within a few hours. The shares are allocated before the market opens the next day."
How does ClickIPO work?
ClickIPO is a mobile-based IPO and Secondary Offering order entry platform and research tool designed for Retail Investors. We make it easy for Retail Investors at any Broker-Dealer to purchase any Offering. We aggregate Retail Investor orders by ...
A block of shares available for purchase usually priced at or below market prices, usually without a registration statement. A block of shares for sale is announced after the market closes, usually at a discount to the closing price. Investors have a ...