Collar Agreement

Filed Under » ,
Dictionary Says

Definition of 'Collar Agreement'

An arrangement in a merger and acquisition deal that protects the buyer from significant fluctuations in the stock's price, between the time the merger begins and the time the merger is complete. Collar agreements are utilized when mergers are financed with stock rather than cash, which can be subject to significant changes in the stock's price and affect the value of the deal to the buyer and seller.
Investopedia Says

Investopedia explains 'Collar Agreement'

A collar establishes a range of prices within which the stock will be valued, or a range of share quantities that will be offfered to assure the buyer and seller of getting the deals they expect. It also precludes the need to negotiate the deal, once at the merger's inception and again before it closes. The primary types of collars are fixed-value collars and fixed share collars.
Search results for

'Collar Agreement'

  • Notorious White Collar Criminals: Where Are They Now? ...

    http://financialedge.investopedia.com/financial-edge/0709/Notorious-White-Collar-Criminals-Where-Are-They-Now.aspx
    ... But many other notorious white-collar criminals have served their time and risen ...
    trading fraud and, like Milken, entered into a plea bargain agreement with his ...
  • Managing Interest Rate Risk

    http://www.investopedia.com/articles/optioninvestor/08/manage-interest-rate-risk.asp
    ... component options, or "caplets," that exist for each period the cap agreement is
    in ... Collars A protective collar can also be used in the management of interest ...
  • Rent To Own; Own To Rent

    http://www.investopedia.com/articles/mortgages-real-estate/09/real-estate-purchase-options.asp
    ... Unless the buyer is informed enough to negotiate favorable terms or an ironclad
    agreement with legal and monetary ... Don't Forget Your Protective Collar. ...
  • Globalization: Progress Or Profiteering?

    http://www.investopedia.com/articles/07/globalization.asp
    ... changes arose because of the North American Free Trade Agreement (NAFTA ... White collar
    jobs, such as call center workers, medical technicians and accountants have ...
  • Housing Deals That Fall Through

    http://www.investopedia.com/articles/mortgage-real-estate/09/house-contract-falling-through.asp
    ... the buyer is in default if she or he fails to cancel the deal within the stated
    time frame after signing the agreement? ... Don't Forget Your Protective Collar. ...
  • Variable Prepaid Forward Contract: Scam Or Safety Net?

    http://www.investopedia.com/articles/stocks/09/variable-prepaid-forward-contract.asp
    ... In exchange for this agreement, the brokerage firm or bank pays the stockholder
    somewhere ... finances in uncertain times, see Don't Forget Your Protective Collar ...
  • Economy And Economics Articles | Investopedia

    http://www.investopedia.com/articles/tags/economy_and_economics/
    ... crimes and punishments of some of the most infamous convicted white-collar crooks ...
    details of the recent mortgage settlement and see who the agreement will affect ...
  • Economy And Economics Articles | Investopedia

    http://www.investopedia.com/articles/tags/Economy_And_Economics/
    ... crimes and punishments of some of the most infamous convicted white-collar crooks ...
    details of the recent mortgage settlement and see who the agreement will affect ...

Related Articles

Bank Rates
Product Today Last Wk
$10K MMA 0.50% 0.51%
MMA 0.45% 0.46%
6 Month CD 0.46% 0.47%
1 Year CD 0.70% 0.75%
5 Year CD 1.46% 1.46%
1 Year Jumbo CD 0.66% 0.67%
Rate data provided by Bankrate
Product Today Last Wk
$30K HELOC 4.59% 4.60%
$30K Home Equity Loan 5.74% 5.77%
$50K Home Equity Loan 5.45% 5.50%
$50K HELOC 4.24% 4.24%
$100K Home Equity Loan 5.41% 5.46%
$100K HELOC 4.13% 4.13%
Rate data provided by Bankrate
Product Today Last Wk
30 Year Fixed 3.80% 3.80%
15 Year Fixed 3.09% 3.11%
1 Year ARM 3.54% 3.53%
30 Year Fixed Jumbo 4.38% 4.38%
5/1 ARM 2.65% 2.69%
3/1 ARM 2.69% 2.69%
Rate data provided by Bankrate
Product Today Last Wk
60 Month Used Car Loan 4.51% 4.51%
48 Month Used Car Loan 4.35% 4.35%
48 Month New Car Loan 3.24% 3.24%
36 Month Used Car Loan 4.34% 4.36%
36 Month New Car Loan 3.11% 3.13%
60 Month New Car Loan 3.35% 3.34%
Rate data provided by Bankrate
Partner Links