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 ?
M2 EQUITYBITES-November 13, 2017-Algonquin Power & Utilities concludes USD576m bought deal financing
Osisko Gold Royalties Ltd (the Corporation or Osisko) is pleased to announce that it has closed its previously announced bought deal offering of convertible senior unsecured debentures of the Corporation (the Debentures) in an aggregate principal amount of C$300 million (the Offering).
Canada-based Laurentian Bank said that it has completed its previously announced bought deal offering and concurrent private placement of subscription receipts.
International Resource News-April 12, 2016--Silver Wheaton completes bought deal public offering of 33,135,000 common shares
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.
Officers and directors of the company purchased CAD2m of the bought deal offering.
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.
M2 EQUITYBITES-May 25, 2017-Invictus concludes USD25m bought deal private placement
to upsize its previously announced bought deal financing to an offering of 5,834,000 common shares in the capital of Alterra (the "Offered Shares") at a price of S6.
International Resource News-April 23, 2015--First Majestic Silver completes bought deal private placement led by BMO Capital Markets
Probe Mines has announced $15 million in bought deal financing.