Right of First Offer (ROFO)

Julien Fissette
Published on
October 18, 2023
Last edited on
May
X
min read
1
min read
Summary

Right of First Offer (ROFO)

Julien Fissette
Published on
October 18, 2023
Last edited on
1
min read
May
?
min read
Legal Document

Right of First Offer (ROFO)

ROFO gives existing shareholders the opportunity to buy shares before they are offered to external parties.

Compared to Right of First Refusal (ROFR), while ROFO is more favorable to sellers, as it doesn’t restrict them to lower-priced offers, it also imposes a time constraint for existing shareholders to make an offer.

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