private placement

American  

noun

Finance.

1. a sale of an issue of securities by the issuing company directly to a limited number of investors, often only one or two large institutional investors, such as a bank or an insurance company (opposed to public offering): required to be cleared but not registered with the Securities and Exchange Commission.

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Example Sentences

A report from the Chicago Fed last year noted that private placement lending by life insurers in 2024 totaled $849 billion, more than double the volume of $386 billion a decade earlier.

From Barron's • Apr. 8, 2026

The company is seeking an aggregate offering size of at least $5 billion, including $2.8 billion in gross commitments from a private placement that will be settled in tandem with the IPO.

From The Wall Street Journal • Mar. 10, 2026

Earlier this year, Newsmax filed for an initial public offering to raise $75 million and a private placement to generate additional capital.

From Los Angeles Times • Sep. 20, 2024

Among those bullish about Instacart’s prospects is PepsiCo, which agreed to buy $175 million in convertible preferred stock in a private placement.

From Seattle Times • Sep. 19, 2023

It is unclear if the private placement is still valid without additional concessions from the companies.

From New York Times • Jul. 3, 2023