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 Definition of Stub equity - Finance dictionary
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Definitions of terms begining
with the same letter as "Stub equity"
:
Stub equity
Stub equity enables investors to take shares in a quoted investment vehicle that owns part or all of the acquired company. Stub equity allows former shareholders of the acquired company to have a new ride taking advantage of an improvment in profitability of the acquired company due to synergies created by the acquirer or of its releverage.
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