An offering (initial public offering, IPO) of securities that is conducted on a shelf registration statement.This kind of offering allows the issuer to respond quickly to a marketing opportunity or market development for its securities that have “temporarily” been kept on the shelf. An issuer may resort to a shelf offering in its preparation for an offering, but cannot, for the time being, determine the deal structure or proper timing (market entry).
The key types of such offerings include 1) resales (by security holders), 2) securities offered and sold under reinvestment plans and employee benefits plans, 3) securities pledged as collateral, 4) securities issued in business combinations, 5) securities used as underlying in options, warrants, convertibles, and rights, among others.
Shelf offerings have two main types: delayed offerings and continuous offerings.
Shelf offerings are also known as shelf registrations.
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