bought deal


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Bought deal

Security issue in which one or two underwriters buy the entire issue. Also known as a guaranteed or fixed-price sale; opposite of a best-efforts sale.

Bought Deal

A new issue that a single underwriter purchases in order to place with investors. Most of the time, new issues are made through a syndicate of several underwriters. Likewise, most underwriters are reluctant to buy part of a new issue if they are unsure of how much demand there will be. Thus, an underwriter only agrees to a bought deal if it believes there will be a good deal of demand so that it can quickly re-sell the entire issue.

bought deal

References in periodicals archive ?
Richmont Mines is increasing the amount of its previously announced bought deal financing from $30 million to $34 million as it works to accelerate the expansion of its Island Gold Mine in northeastern Ontario.
Encana offloaded its shares through a bought deal to a group of underwriters.
Laurentian Bank of Canada (TSX: LB) has said that it has signed an agreement with a syndicate of underwriters, under which the underwriters have agreed to buy on a bought deal basis 1,262,000 common shares, at a price of USD47.
The additional shares were exercised by the underwriters pursuant to the over-allotment option in connection with the Company's previously announced bought deal financing, which closed on September 21, 2011.
A), a Canadian holding company with various aviation interests including Air Canada, reported yesterday that it has completed the sale of 44m Class B voting shares of Air Canada in a secondary offering on a bought deal basis.
discussions with Repsol, US$80 million bought deal financing, and
Silver Corporation (TSX-V: USA, US OTCQX: USSIF, Frankfurt: QE2) ("US Silver" or the "Company") announces that it has issued today a warrant acceleration notice to all warrant holders from a bought deal private placement that closed on September 29, 2010, subject to the terms, covenants, conditions and provisions of the September 29, 2010 warrant indenture.
Probe Mines has announced $15 million in bought deal financing.
breached its bought deal engagement letter with Stetson dated July 13, 2008, and awarding full damages of $16,042,669 plus interest and costs.
Company") FCP yesterday announced a bought deal financing to raise
The offering includes CAD 200 million issued on a bought deal basis, with an option on an additional CAD 50 million available to the underwriters, for a total of up to CAD 250 million.
has announced it has concluded a bought deal private placement offering of 11.