Investopedia

Continue to Site »

Piggy Back Registration

Filed Under » ,
Dictionary Says

Definition of 'Piggy Back Registration'

When an underwriter allows existing company shares to be sold in conjunction with a new public offering. The registration of these securities is said to be "piggybacking" off the IPO (hence the term "piggy back registration"). That said, a piggy back registration is distinct and not the same as "piggybacking."
Investopedia Says

Investopedia explains 'Piggy Back Registration'

In order for a piggyback registration to take place, the underwriter must sign off on the idea and the arrangement must be noted in the new issue's prospectus. Under such arrangements, the prospectus will give all the details, including the names of those selling private shares. Piggy back registrations are often done as a means of consolidating all the outstanding shares and allowing joint venturers to participate in the IPO.

Articles Of Interest

  1.

    How To Interpret A Company's Prospectus

    Learn to decipher the secret language of the prospectus - it can tell you a lot about a company's future.

  2. Brokerage Functions: Underwriting And Agency Roles

    Learning about these various activities can give insight into how securities are issued and traded.

  3. Understanding Rights Issues

    Not sure what to do if a company invites you to buy more shares at discount? Here are some of your options.

  4. Financial Career Options For Professionals

    Find out if spreading your wings to try a new career will make you soar or fall flat.

  5. Investing In IPO ETFs

    Learn the history, rules and risks of investing in IPO exchange-traded funds.

  6. Finding Undiscovered Stocks

    Wall Street tends to focus on large cap stocks, leaving other stocks under-followed and undervalued.

  7. Small Caps Boast Big Advantages

    Find out why little companies have the greatest potential for growth.

  8. How are share prices set?

    When a company goes public though an initial public offering (IPO), an investment bank evaluates the company's current and projected performance and health to determine the value of the IPO for ...

  9. Becoming A Financial Analyst

    A career as a financial analyst requires preparation and hard work, but the payoff can be especially rewarding.

  10. Wanna Be A Bigwig? Try Investment Banking

    A career in this high-stress field can be very rewarding for the right person. Find out if you have what it takes.
comments powered by Disqus
Marketplace
Hot Definitions

  1. Pattern Day Trader

    An SEC designation for traders who trade the same security four or more times per day (buys and sells) over a five-day period, and for whom same-day trades make up at least 6% of their activity for that period.

  2. Cost-Push Inflation

    A phenomenon in which the general price levels rise (inflation) due to increases in the cost of wages and raw materials.

  3. Happiness Economics

    The formal academic study of the relationship between individual satisfaction and economic issues, such as employment and wealth.

  4. Affluenza

    A social condition arising from the desire to be more wealthy, successful or to "keep up with the Joneses." Affluenza is symptomatic of a culture that holds up financial success as one of the highest achievements.

  5. Icarus Factor

    The term Icarus factor describes a situation where managers or executives initiate an overly ambitious project which then fails. Fueled by excitement for the project, the executives are unable to reign in their misguided enthusiasm before it is too late to avoid the failure.

  6. Angelina Jolie Stock Index

    An index made up of a selection of stocks from companies associated with actress Angela Jolie.
Trading Center