Practical Law Glossary Item 5-383-6599 (Approx. 3 pages)
Glossary
Registration Rights Agreement
In an unregistered securities offering, an agreement between the issuer and the purchasers of the security that creates an obligation for the issuer to register the re-offer and resale of the securities being offered at some time in the future (usually within six months). The agreement sets out procedures and timing for the registration process and also contains indemnification and contribution provisions similar to those contained in an underwriting agreement or purchase agreement.
In the context of an acquisition where the consideration paid to the stockholders of the company being acquired consists of shares of the acquiring company, a registration rights agreement may be entered into between certain of these stockholders and the acquiring company.