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Oversubscription

Oversubscription defined: Oversubscription is a privilege provided to existing shareholders in a company when the company issues a rights or warrants offering. This enables shareholders to “subscribe” to purchase extra shares that are not picked up by the remaining shareholders.

Above is a definition for “Oversubscription” from PrivCo’s Private Company Knowledge Bank, the definitive online and e-book guide to private companies and private company deals.

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