Categories
Investments glossary

Contingent Value Right (CVR)

Shareholders of a company facing a restructuring or a buyout may often receive contingent value rights (CVRs). These rights ensure that the shareholders get certain benefits if a specific event occurs, usually within a specified time frame. These rights are similar to options because they frequently have an expiration date, beyond which the rights to the additional benefits will not apply. CVRs are usually related to the performance of a company’s stock.

Click to rate this post!
[Total: 0 Average: 0]

Leave a Reply

Your email address will not be published. Required fields are marked *