Share Purchase Right

Share Purchase Right

A right attached to some shares giving the shareholder the ability to buy more shares of the same stock at a given price. It is similar to a stock option, but is distributed to existing shareholders rather than bought and sold. However, share purchase rights may be traded like any other option.
References in periodicals archive ?
As part of the plan, in 2009 the Board of Directors declared a dividend of one preferred share purchase right for each outstanding share of its common stock and Class B stock.
Pursuant to the plan, the Board of Directors declared a dividend of one preferred share purchase right for each outstanding share of its common stock.
The new plan grants to Tennant shareholders a preferred share purchase right for each outstanding common share held of record at the close of business on December 26, 2006.
The Board of Directors of Lear Corporation (NYSE: LEA) yesterday approved a share repurchase program and declared a dividend distribution of one Preferred Share Purchase Right on each outstanding share of its common stock.
Pursuant to the 2006 Rights Plan, Ligand's Board of Directors declared a dividend distribution of one Preferred Share Purchase Right (a "Right") on each outstanding share of Ligand's common stock.
Pursuant to the terms of the rights plan, each share of Davel common stock was accompanied by one preferred share purchase right.
Under the Rights Plan, which is effective immediately, the board of directors has declared a dividend of one Preferred Share Purchase Right for each common share and one Preferred Share Purchase Right for each share of common stock issuable upon exercise of Showscan's Series A Convertible Preferred Stock and its Series C Convertible Preferred Stock.
Pursuant to the Rights Agreement relating to the shareholder rights plan, the Board has declared a dividend of one preferred share purchase right (a "Right") for each share of common stock outstanding at the close of business on June 27, 2005.
Under the Rights Plan, the Company will make a dividend distribution of one Preferred Share Purchase Right for each outstanding share of the Company's common stock held by stockholders of record as of the close of business on May 31, 2005.
The plan was implemented by declaring a dividend distribution of one preferred share purchase right for each outstanding share of America Online's common stock.
NYSE: EME) reported that its board of directors declared a dividend distribution of one new common share purchase right on each outstanding common share.
Each Preferred Share Purchase Right will entitle shareholders to buy one one-hundredth of a share of the Company's Series A Participating Preferred Stock at an exercise price of $125.