• LETTER OF INTENT
• UNDERWRITING AGREEMENT
• UNDERWRITING COSTS
• UNDERWRITING SYNDICATES
• FURTHER READING:

Underwriting involves the orderly process of security registration for the financial sourcing of a public offering through the purchase of securities for resale to the public. The underwriting may be a firm commitment to purchase the entire amount of the company's securities regardless of the ability to resell them. The underwriting of such a low-priced initial public offering (IPO) and other less-well-known stock (e.g., over-the-counter stock) may be done on a best-efforts basis where the underwriter acts only as an agent and accepts no financial...