follow-on offering means: Following an IPO, the company may offer additional stock. (in Stock Market Dictionary)
What else does follow-on offering mean?
- Follow-on offerings are generally conducted by companies because they require additional capital than the IPO raised. Generally, follow-on offerings can be called shelf offerings. Secondary offerings are also possible if shareholders wish to sell shares. (in Legal Dictionary)
- Following an initial public offer (IPO), follow-on offerings can be any public offering that is conducted by a company. Sometimes referred to by “Follow-on Public Offer” (or “FPO”) (in Legal Dictionary)
- Following-on offers can either be non-dilutive or dilutive. The offering that increases the shares outstanding is considered dilutive, as each share has a smaller relative percentage of company earnings. The offering will not be dilutive if the company sells shares that it already holds or, in secondary offerings, if the shares are reduced. (in Legal Dictionary)