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sponsored American Depositary Receipt

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sponsored American Depositary Receipt
An American Depositary Receipt in which the company whose shares are held in custody has direct involvement in issuance of the ADRs. The foreign company registers the receipts with the Securities and Exchange Commission and chooses a single depositary bank. Holders of sponsored ADRs have all the rights of common stockholders, including the right to receive reports, the right to vote, and the right to receive dividends. Compare unsponsored American Depositary Receipt.


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