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Appraisal right

The right of a holder who voted against certain resolutions, or did not vote, to sell his shares back to the company.

How to read the number

It protects whoever disagrees with a reorganisation, a major transaction or a curtailment of his rights: an exit exists even where the shares barely trade.

When the metric lies

The right does not arise on every contested matter, it requires being on the list on the relevant date and claiming in time, and the price comes from a valuer rather than from the exchange.

Also known as: appraisal right

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