Transfer shares – Secondary Transactions

The transactions that take place after a primary issuance has been granted is called a secondary transaction. There are many kinds of secondary transactions including repurchases, cancellations, exercises, transfers, sales, equity conversions, and debt repayments. The secondary transactions come in many forms, such as:

• Company tender offers
• Sale of stock by employees or early investors to a third party
• Liquidation of founders as part of a financial round

These transactions change the ownership status and equity amounts of the primary issuances. They also control the transactions that take place after the initial grant. The transfer of shares is one of the main kinds of secondary transactions where the shares are transferred to another party from the primary party who was initially granted the shares. To know more about the kinds of secondary transactions available, check out our blog or knowledge center here. And if you have not yet started using Eqvista as your cap table application, it’s time to do so. Check out our cap table software here & contact us today!