Repurchase of stock

Device to pay cash to firm's shareholders that provides more preferable tax treatment for shareholders than dividends. Treasury stock is the name given to previously issued stock that has been repurchased by the firm. A repurchase is achieved through either a dutch auction, open market, or tender offer. The New York Times Financial Glossary

Financial and business terms. 2012.

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  • repurchase of stock — Technique to pay cash to firm s shareholders that provides more preferential tax treatment for shareholders than dividends. Treasury stock is the name given to previously issued stock that has been repurchased by the firm. A repurchase is… …   Financial and business terms

  • repurchase — Ⅰ. repurchase UK US /ˌriːˈpɜːtʃəs/ verb [T] FINANCE, STOCK MARKET ► to buy back shares, bonds, etc. that you previously sold: »Our objective is to use surplus cash to repurchase shares. Ⅱ. repurchase UK US /ˌriːˈpɜːtʃəs/ noun [C or U] also… …   Financial and business terms

  • repurchase — re·pur·chase 1 /ˌrē pər chəs/ vt chased, chas·ing: to buy back repurchase shares of stock repurchase 2 n: the act or an instance of purchasing something again or back; specif: a corporation s buying back of some of its stock at market price (as… …   Law dictionary

  • repurchase agreement — ( RP) A form of secured, short term borrowing in which a security is sold with a simultaneous agreement to buy it back from the purchaser at a future date. The purchase and sales agreements are simultaneous but the transactions are not. The sale… …   Financial and business terms

  • repurchase rate — UK US noun [C] FINANCE, STOCK MARKET ► REPO RATE(Cf. ↑repo rate) …   Financial and business terms

  • Stock market — Financial markets Public market Exchange Securities Bond market Fixed income Corporate bond Government bond Municipal bond …   Wikipedia

  • Repurchase agreement — An agreement with a commitment by the seller ( dealer) to buy a security back from the purchaser ( customer) at a specified price at a designated future date. Also called a repo, it represents a collateralized short term loan, where the… …   Financial and business terms

  • stock — The goods and wares of a merchant or tradesman, kept for sale and traffic. In a larger sense, the capital of a merchant or other person, including his merchandise, money, and credits, or, in other words, the entire property employed in business.… …   Black's law dictionary

  • Stock split — A stock split or stock divide increases the number of shares in a public company. The price is adjusted such that the before and after market capitalization of the company remains the same and dilution does not occur. Options and warrants are… …   Wikipedia

  • Stock repurchase — A firm s repurchase of outstanding shares of its common stock. The New York Times Financial Glossary …   Financial and business terms

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