Firm underwriting definition

Firm underwriting means that the underwriter or underwriters agree to purchase all of the securities being offered for their own account.
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Firm underwriting means a distribution (or a specified portion of a distribution) where an underwriter has agreed to purchase all of the securities at a specified price, even though the underwriter’s obligations may be subject to a market out clause or other conditions;
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Firm underwriting means an underwriting arrangement where an issuer sells the entire issue to an underwriter, who then attempts to resell the securities. The Issuer receives the agreed amount and all the risks associated with selling the securities are transferred to the underwriter(s).
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Examples of Firm underwriting in a sentence

  • When Firm underwriting (included in total subscription) is treated on part with marked application the format for calculating total liability will be as follows.

  • Particulars X Y Z Total Gross Liability (-)unmarked application (-) marked application (-) surplus of Y’s distributer to X & Z (4,000*12:3) Net Liability (+) Firm underwriting Total liability 60,000 21,600 25,000 9,000 15,000 5,400 1,00,000 36,000 38,400 10,000 16,000 20,000 9,600 5,000 64,000 35,000 28,400 3,200 -4,000 - 4,600 800 29,000 - 25,200 8,000 - 3,000 3,800 10,000 29,000 21,000 33,200 3,000 13,800 50,000 18.

  • Particulars A B C D Total Gross Liability (-)unmarked application (35,000*6:5:5:4) (-) marked application (-) surplus of ‘D’ distributer to A,B & C (6,000*6:5:5) Net Liability (+) Firm underwriting Total liability 37,500 10,500 31,250 8,750 31,250 8,750 25,000 7,000 1,25,000 35,000 27,000 24,000 22,500 20,000 22,500 12,000 18,000 24,000 90,000 80,000 3,000 2,250 750 4,000 12,500 1,875 125 6,000 10,500 1,875 8,625 - -6,000 - 15,000 10,000 10,000 25,000 4,750 6,125 8,625 15,000 35,000 iv.

  • The following being the marked forms including Firm underwriting A-1,40,000 , B-56,000 , C-64,000.

  • Particulars X Y Z Total Gross Liability (-)unmarked application (6,000*5:3:2) (-) marked application (-) surplus of Y’s distributer to X & Z (300*5:2) Net Liability (+) Firm underwriting Total liability 10,000 3,000 6,000 1,800 4,000 1,200 20,000 6,000 7,000 3,000 4,200 4,500 2,800 1,700 14,000 9,200 4,000 214 -300 - 1,100 86 4,800 - 3,786 1,000 - 500 1,014 1,500 4,800 3,000 4,786 500 2,514 7,800 20.

  • Particulars A B C Total Gross Liability (-)unmarked application (1,00,000*5:3:2) (-) marked application (-) surplus of ‘C’ distributer to A&B (4,000*5:3) Net Liability (+) Firm underwriting Total liability 2,00,000 50,000 1,20,000 30,000 80,000 20,000 4,00,000 1,00,000 1,50,000 1,40,000 90,000 56,000 60,000 69,000 3,00,000 2,60,000 10,000 2,500 34,000 1,500 -4,000 - 40,000 7,500 40,000 32500 20,000 - 20,000 40,000 80,000 47,500 52,500 20,000 1,20,000 21.

  • Particulars A B C Total Gross Liability (-)unmarked application (15,000*6:3:1) (-) marked application (-) surplus of ‘C’ distributer to A &B (500*6:3 ) Net Liability (+) Firm underwriting Total liability 30,000 9,000 15,000 4,500 5,000 1,500 50,000 15,000 21,000 16,000 10,500 10,000 3,500 4,000 35,000 30,000 5,000 333 500 167 -500 - 5,000 - 4,667 5,000 333 2,000 - 500 5,000 7,500 9,667 2,333 500 12,500 19.