oversubscription


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Oversubscription

The excess number of shares or bonds that investors want to buy but are not available due to high demand.

Oversubscription

A situation in which investors show so much interest in a new issue of a security that demand exceeds supply. Before a new issue, underwriters canvass potential investors, who may or may not book an order to buy a portion the new issue. If investors order more shares than there are shares being issued, the security is said to be oversubscribed. This may affect the price when the security is actually issued.

oversubscription

a situation in which the number of SHARES applied for in a new SHARE ISSUE exceeds the numbers to be issued. This requires the ISSUING HOUSE responsible for handling the share issue to devise some formula for allocating the shares. By contrast, undersubscription occurs when the number of shares applied for falls short of the number on offer, requiring the issuing house which has underwritten the shares to buy the surplus shares itself See CALLED-UP CAPITAL, PAID-UP CAPITAL.

oversubscription

a situation in which the number of SHARES applied for in a new SHARE ISSUE exceeds the numbers to be issued. This requires the ISSUING HOUSE responsible for handling the share issue to devise some formula for allocating the shares. By contrast, undersubscription occurs when the number of shares applied for falls short of the number on offer, requiring the issuing house that has underwritten the shares to buy the surplus shares itself. See CAPITAL MARKET.
References in periodicals archive ?
This new white paper gives admins the insight needed to leverage oversubscription without risking costly outages and maintaining optimal performance in their virtual environments.
For the voice network, the number of possible users far exceeds the number of actual users, which equates to a high oversubscription ratio.
We were encouraged by the support our lending institutions provided as evidenced by the oversubscription we were able to obtain.
Investors demand as represented in the ICPs' oversubscription rate reflects the market's confidence in the strength and quality of the structure as well as Cagamas' proven track record," said Chung Chee Leong, President/Chief Executive Officer of Cagamas.
However, the Company will not be able to begin calculations for any oversubscription pro rata allocations and adjustments until three days after the expiration time of the rights offering, which is the latest date for rightsholders to deliver the rights exercise notice according to the guaranteed delivery procedures.
05 per share offering price through the exercise of both basic and oversubscription privileges in the rights offering.
LMI) announced today that a mathematical error was made in connection with the determination of the number of shares available for oversubscription upon exercise of the LMI Series B rights issued in LMI's rights offering, which expired in accordance with its terms at 5:00 p.
JACKBE CLOSES PRODUCT BETA PROGRAM DUE TO OVERSUBSCRIPTION
Following the allocation of shares to rightsholders exercising their basic subscription privilege, 506,176 shares of LMI Series A common stock and 487,931 shares of LMI Series B common stock remain available for allocation among those who properly exercised their oversubscription privilege.
With its advanced classification and IPv6, MPLS support, multiple queues per port and deep buffer options, advanced scheduler, CS3477 delivers intelligent oversubscription capabilities for packet priority control.
Each series of subscription rights was fully subscribed, including pursuant to the exercise of oversubscription privileges.
Ample's highly integrated Harrier MAC provides programmable, intelligent oversubscription to optimize existing network infrastructure and reduce the number of components, which enabled Anritsu to develop a higher density video distribution switch that occupies less space and runs at a lower power.