Warning

Info

Warning

Info

Warning

Info

LSDefine

Simple English definitions for legal terms

preliminary prospectus

Read a random definition: quotient verdict

A quick definition of preliminary prospectus:

A preliminary prospectus is a document that companies give to people who might want to invest in their business when they are planning to go public. It tells people about the company's operations and what they are offering. It's also called a "red herring." The company can't make written offers during this time, but they can give out a preliminary prospectus. The document has to include almost all the information that will be in the final prospectus, but it only has an estimated price range, not the final price.

A more thorough explanation:

A preliminary prospectus is a document that companies provide to potential investors during the waiting period of an initial public offering (IPO). It gives information about the company's business operations and the offering.

The Securities Act prohibits companies from making written offers during the waiting period unless the written offer complies with Section 10. However, companies can draft and distribute a preliminary prospectus before the Securities and Exchange Commission (SEC) declares their registration statement effective.

A preliminary prospectus is also known as a "red herring." It contains almost all the information that a final prospectus has, including information about the company's business operations, management, strategies, risk factors, and ownership structure. However, it only includes an estimated price range of the offering price, while the final prospectus has the final offering price.

ABC Company is planning to go public and is in the process of filing a registration statement with the SEC. During the waiting period, ABC Company drafts and distributes a preliminary prospectus to potential investors. The preliminary prospectus contains information about ABC Company's business operations, management, strategies, risk factors, and ownership structure. It also includes an estimated price range of the offering price.

This example illustrates how a preliminary prospectus provides potential investors with information about a company's business operations and the offering during the waiting period of an IPO.

Preliminary injunction | Premarital agreement

Warning

Info

General

General chat about the legal profession.
main_chatroom
👍 Chat vibe: 0 👎
Help us make LSD better!
Tell us what's important to you
MIAMI A
[] AromaticTroubledDormouse
20:55
How does one know if they are UR1 or UR2?
[] AromaticTroubledDormouse
20:56
CONGRATS MACAQUE!
TY
got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
good morning lsd it is 5 am EST
also jazzy my ndls address went long ages ago i sadly do not think it means anything
my stanford address also went long LOL i think at most it's an indicator it's under review
LSD+ is ad-free, with DMs, discounts, case briefs & more.