preemptive right


noun

a privilege given to an existing shareholder to buy a portion of a new stock issue at the offering price on a pro-rata per-share basis.

Nearby words

  1. preemphasis,
  2. preemployment,
  3. preempt,
  4. preemption,
  5. preemptive,
  6. preemptive strike,
  7. preemptor,
  8. preemptory,
  9. preen,
  10. preen gland

Origin of preemptive right

First recorded in 1850–55

Dictionary.com Unabridged Based on the Random House Unabridged Dictionary, © Random House, Inc. 2019