Competitive Bid

What Does Competitive Bid Mean?
A process whereby an underwriter submits a sealed bid to the issuer. The issuer awards the contract to the underwriter with the best price and contract terms.

Investopedia explains Competitive Bid
This process is used for everything from IPOs to large construction projects.

Related Terms

Initial Public Offering - IPO
Negotiated Underwriting
Public Offering Price - POP
Re-Offer Price
Underwriting
More Related Terms

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