Eating Stock
Purchasing stock not because you desire it but because you are forced to do so. Investopedia Says:
Underwriters who can't find enough investors to purchase IPO shares are sometimes forced to eat stock. The underwriter is forced to purchase the shares that could not be sold to the public. Related Terms:
Direct Public Offering
Gross Spread
Gun Jumping
IPO
Lock-up Agreement
Prospectus
Public Offering Price (POP)
Red Herring
Stock
Underwriter |