Going Public Process in which a company raises external equity capital by offering its shares to public investors Going Public is usually considered to be a synonym for initial public offering (IPO). In the original sense, Going Public refers to the change in a company’s legal form when it is...

Global depositary receipt (GDR) Security representing a foreign share Global depository receipts (GDRs), which were developed on the basis of American depositary receipts (ADRs), securitize the ownership in shares. A GDR can relate to one or several shares, or a mere proportion of a share. GDRs are traded instead of...

German Stock Corporation Act In law in Germany pertaining to stock corporations (AG) and commercial partnerships limited by shares (KGaA). The German Stock Corporation Act (Aktiengesetz), enacted on 6 September 1965, regulates in particular the founding of a company, the legal relationships between the company and its partners or shareholders,...

General Standard Deutsche Börse listing segment for companies fulfilling the transparency requirements prescribed by German law Admission to General Standard does not require any action on the issuers’ part; it occurs automatically with the listing in either the Official or Regulated Market. LIST ON THE FRANKFURT STOCK EXCHANGE – CONTACT...

Exchange trader Exchange traders are employees of firms admitted to exchange trading (see market participant). Exchange traders conclude transactions on the exchange in the name of and for the account of their employer, or on behalf of a third party. In order to be admitted to trading, exchange traders must...

Entry Standard Capital market access provided by Deutsche Börse for small and medium-sized companies as an alternative to EU-regulated segments Entry Standard is a transparency standard within the Open Market (Regulated Unofficial Market) with additional requirements. Companies in Entry Standard must meet the following criteria and publish on their website:...

Electronic exchange A largely automatic, computer-based system for securities trading An electronic exchange is a trading platform in which order entry and forwarding, matching of buy and sell orders, and price determination are performed by a computer. In most cases, the system also includes functions for clearing and settlement procedures,...

Clearing The netting and settlement of claims and liabilities arising from securities and derivatives transactions Clearing is typically performed by a central institution, the so-called clearinghouse. The clearinghouse determines the bilateral net debt of buyers and sellers involved in exchange transactions, and, at the end of the trading day, provides...

Dual Listing (DL) A second listing on an exchange that isn’t the company’s domestic bourse With a dual listing, also called a secondary listing, a company’s shares are placed on an exchange other than its domestic exchange. This can happen at the behest of the company or a market maker....

Double listing The listing of a security on more than one exchange. Companies become listed on a second exchange in order to reach a broader-based public and attract additional investors. Because the fragmentation of share capital between different exchanges often results in diminished liquidity, companies usually undertake a capital increase...