Bookbuilding / Order Book

Published Editorial review How we check the data

Short answer

The process of collecting investor interest to help set an offering’s price and allocation.

Bookbuilding is the process in which underwriters collect indications of interest from potential investors. The resulting order book records who is interested, how many shares they may want, and sometimes the price range they would consider. The information helps the company and underwriters assess demand, set the offering price, and allocate shares.

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