Glossary
Not sure about the terminology? This is the place to find out what everything means.
W
Warrant
A company may issue warrants to their shareholders, as part of a change in their share capital. They are not shares. Warrants give you the right, but not the obligation to buy shares in the company issuing the warrants, on a fixed date(s), at a fixed price. You can sell your warrants at any time before the fixed date. The value of the warrant is worked out by comparing the fixed price of the warrant against the market price of the shares. Warrants generally do not entitle you to dividends or voting rights.
White knight
A company at the receiving end of a takeover bid often searches for an alternative bidder that would be more acceptable - a white knight.
Warrants Risk Warning Notice
A two way agreement explaining the potential risks of dealing in warrants.
Windfalls
Free shares given to members of a mutual society when it becomes a PLC.
Writer
The issuer of a covered warrant is sometimes referred to as the writer.
