antidilution provision

Definition

The right of current shareholders to maintain their fractional ownership of a company by buying a proportional number of shares of any future issue of common stock. Most states consider antidilution provisions valid only if made explicit in a corporation's charter. also called subscription privilege or subscription right or preemptive right.

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Nearby Terms

annuity unit
antedate
anticipated holding period
anticipation
anticipation note
antidilution provision
antidilutive
antique
antitrust laws
any part of order
any-and-all bid