preference shares

British  

plural noun

1. US and Canadian name: preferred stock.  shares representing part of the capital issued by a company and entitling their holders to priority with respect to both net profit and net assets. Preference shares usually carry a definite rate of dividend that is generally lower than that declared on ordinary shares Compare ordinary shares preferred ordinary shares

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Example Sentences

It was given "preference shares", which meant it would get its money back first in the event of a sale.

From BBC • Mar. 4, 2026

US equity firm TSG Consumer Partners acquired a 22% stake in Brewdog in 2017, and was given "preference shares" over Equity for Punks shareholders.

From BBC • Mar. 4, 2026

But unlike the Equity for Punks' "ordinary" shareholders, TSG was given "preference shares".

From BBC • Feb. 27, 2026

“The board will now consider its next steps and will continue to engage with our shareholders,” Chairman Marijn Dekkers said, adding Unilever will proceed with the plan to cancel its Dutch preference shares.

From Reuters • Oct. 5, 2018

The dividend on preference shares is either “cumulative” or contingent on the profits of each separate year or half year.

From Encyclopaedia Britannica, 11th Edition, Volume 8, Slice 5 "Dinard" to "Dodsworth" by Various