PREEMPTIVE RIGHT

Pronunciation (US):

(GB):

 I. (noun) 

Sense 1

Meaning:

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

Classified under:

Nouns denoting possession and transfer of possession

Hypernyms ("preemptive right" is a kind of...):

pre-emption; preemption (the right to purchase something in advance of others)

Credits