greenshoe option

noun

A provision in an initial public offering underwriting agreement, allowing an underwriter to sell more shares than initially planned if demand exceeds expectations.

Meanings

noungreenshoe option (plural greenshoe options)

plural greenshoe options

  1. businessA provision in an initial public offering underwriting agreement, allowing an underwriter to sell more shares than initially planned if demand exceeds expectations.
Cite this entry
APA

greenshoe option. (n.d.). In WatkinsX Dictionary. Retrieved November 2, 2026, from https://dictionary.watkinsx.com/word/greenshoe%20option

MLA

“greenshoe option.” WatkinsX Dictionary, https://dictionary.watkinsx.com/word/greenshoe%20option. Accessed November 2, 2026.

Chicago

WatkinsX Dictionary, s.v. “greenshoe option,” accessed November 2, 2026, https://dictionary.watkinsx.com/word/greenshoe%20option.

Source: greenshoe option on Wiktionary, CC BY-SA 4.0.