preemptive right


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preemptive right

n.
The right of a company's existing stockholders to purchase enough shares to maintain their overall ownership percentage in the event of a new stock issue.
ThesaurusAntonymsRelated WordsSynonymsLegend:
Noun1.preemptive right - 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
preemption, pre-emption - the right to purchase something in advance of others
Translations
신주인수권
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References in periodicals archive ?
The doctrine of preemptive right proved to be a two-edged sword regarding Indian land rights.
The preemptive right lasts till February 26, 2013, and we recommend using it in order to get more liquid shares of RysHydro.
The government of Pakistan can exercise its preemptive right to buy out BP s interests, but we have to see how much are they asking.
Alternatively, I would have preferred that the government take its government-inspired "toxic assets" off (off!) of Merrill's books, infuse capital and give us shareholders a preemptive right to invest new capital at the same terms.
Furthermore, even if an agreement provides for issuance of a specified number of shares, rather than a percentage of the business, and does not contain an anti-dilution provision, the employee might nonetheless have a "preemptive right" to maintain his/her ownership interest in the business.
Mitsui, which owns 40% of CAEMI's voting shares and is a key player in the Brazilian iron ore market, has the preemptive right to match BHP's reported offer to buy the Brazilian mining company at $322 million.
last year, but was thwarted by ANZ, which owned the other 50% and had the preemptive right to buy News Corp.'s stake for itself.
or a preemptive right in the nature of a right of first refusal in gross with respect to an interest in land ...
These convertible bonds may, with deviation from the shareholders' preemptive right, only be subscribed for by Inhye Kim.
The cut-off date for implementing the preemptive right to purchase shares was on May 17.
Let one point be very clear that exporting cotton, yarn, and unprocessed cloth support Pakistan's competitors, whereas the value adding units have the preemptive right on the locally produced raw material.
Current shareholders will have a preemptive right to subscribe in proportion to their holdings.