Sticky Deal

DEFINITION of 'Sticky Deal'

An issue of new securities that may present a selling challenge to an underwriter, usually because there's been some bad news about the issuing company or overall economy.

BREAKING DOWN 'Sticky Deal'

Underwriters who feel an issue will be a sticky deal may lower the offering price or withdraw the offering from the market entirely.

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RELATED FAQS
  1. Do underwriters make guarantees to sell an entire IPO issue?

    Underwriters represent the group of representatives from an investment bank whose main responsibility is to complete the ... Read Answer >>
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  3. What are examples of risks for all underwriter types?

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