closing purchase

Closing purchase

A transaction in which the purchaser's intention is to reduce or eliminate a short position in a stock, or in a given series of options.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Closing Purchase

1. Any transaction that closes a position, especially a short position.

2. An option seller's purchase of another option that cancels out the provisions of the previous option by having the same provisions.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

closing purchase

Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.
References in periodicals archive ?
The ETF up 3.4% since that time and the closing purchase today monetizes 36c per contract in profits, or $2.3M on the 63.8K lot.
Additionally, certain issued short-term bridge notes were surrendered as payment of the initial closing purchase price, stated the company.
Separately, 5K Jun 25 puts trade for $4.55 and the block is also a closing purchase. Meanwhile, some very ambitoius traders bought Jan2020 75 calls across the exchanges for 10c each.
Meanwhile, 5K Oct 8 puts trade for 5c and appears to be closing purchase. Dec 13 calls and Sep 11 calls are attracting buyers, with 4.8K and 2.6K traded, respectively.
Under the terms of the definitive agreement Resolute is receiving cash consideration of USD 160m, adjusted for normal closing purchase price adjustments, and will receive additional cash consideration of up to USD 35m if oil prices exceed certain levels in the next three years.
The closing purchase price for the transaction was USD408m plus adjustments for inventory and working capital.
The closing purchase price for the transaction was USD408m, plus adjustments for inventory and working capital.
Sales at general merchandise stores jumped 4.9 percent, while closing purchases rose 1.2 percent.