preemptive right

noun

1
2
: the right of a shareholder to buy shares of newly issued stock in proportion to existing holdings before a public offering is made in order to prevent dilution of ownership interest or seizure of majority control by management

Dictionary Entries Near preemptive right

Cite this Entry

“Preemptive right.” Merriam-Webster.com Legal Dictionary, Merriam-Webster, https://www.merriam-webster.com/legal/preemptive%20right. Accessed 29 Nov. 2024.

More from Merriam-Webster on preemptive right

Love words? Need even more definitions?

Subscribe to America's largest dictionary and get thousands more definitions and advanced search—ad free!