Participating preferred stock


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Participating preferred stock

Preferred stock that provides the holder with a specified dividend plus the right to additional earnings under specified conditions.

Participating Preferred Stock

A stock, entitling the bearer to part ownership in the issuing company, and also to a certain minimum dividend. The dividend paid may be higher than the minimum depending upon company performance. In any case, these dividends must be paid before any dividends are paid on common stock, and if a company is unable to pay dividends on participating preferred stock, stockholders have the right to force the liquidation of the company. Private equity and venture capital firms often use participating preferred stock as a means of financing their investments. Unlike most other preferred stock owners, participating preferred stockholders sometimes have voting rights in the company. See also: Cumulative preferred stock, Non-cumulative stock, Convertible stock.
References in periodicals archive ?
However, participating preferred stock allows the holder to receive additional dividends after common shareholders have received a certain amount.
Each right will entitle stockholders to buy one one-hundredth of a share of a new series of junior participating preferred stock at an exercise price of $150.
Further, the board approved a quarterly cash dividend of USD0.3750 per share on the company's series B participating preferred stock that will be paid on 2 April2018, to shareholders of record date on 15 March 2018.
(NYSE:V) has said that its board of directors has declared a quarterly cash dividend of USD0.14 per share of class A common stock (determined in the case of class B and C common stock and series B and C convertible participating preferred stock on an as-converted basis).
Its current BlackRock stake is made of common stock and Series B convertible participating preferred stock which will automatically convert into common stock upon sale.
Initially, the rights will trade with the common stock and will represent the right to purchase one one-hundredth of a share of the new Series A Junior Participating Preferred Stock at USD37.50 per right, become exercisable on the tenth business day after a person or group acquires or commences a tender offer or exchange offer following the date of the Rights Plan for 15% or more of HGS's Common Stock without prior board approval or immediately prior to the acceptance for payment of Common Stock tendered pursuant to any tender offer or exchange offer commenced by a third party prior to the date of the Rights Plan.
The initial tender offer, made through Intel's subsidiary APC II Acquisition Corporation (APC II), was for all outstanding shares of common stock, including rights to purchase shares of Series A Junior Participating Preferred Stock, of Wind River Systems Inc for USD11.50 per share.A As of the expiration of the initial offering period at 12:00 EDT on 9 July 2009 a total of approximately 69.0m shares of Wind River common stock had been validly tendered and not withdrawn.
Under the terms of the transaction, public unitholders of Navios Midstream may exchange each Navios Midstream common unit for either 6.292 newly issued shares of Navios Acquisition common stock; or 1 share of a newly issued series of convertible participating preferred stock of Navios Acquisition.
The board of directors of Visa Inc (NYSE:V) authorised a quarterly cash dividend of USD0.165 per share of the company's class A common stock (determined in the case of class B and C common stock and series B and C convertible participating preferred stock on an as-converted basis), it revealed on Tuesday.
Barclays Plc currently holds common stock and convertible participating preferred stock in BlackRock.
It currently holds nearly 35.2m BlackRock shares, including common units and series B convertible participating preferred stock.
The board of directors of Visa Inc (NYSE:V) authorised a quarterly cash dividend of USD0.165 per share on the company's class A common stock (decided for the class B and C common stock and series B and C convertible participating preferred stock, on an as-converted basis), it declared on Wednesday.

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