A right, but not an obligation, to acquire securities (typically common equity securities) from the issuer at a set price (or a price to be calculated in accordance with a set formula) and during a specified period. Warrants are often issued in connection with a private equity leveraged buyout, minority investment, or mezzanine financing and are typically issued with debt securities or preferred stock as an inducement (or equity kicker) for potential investors.

For standard form warrants that can be used in various transactions, see Standard Documents, Warrant (General Form), Warrant (Penny Warrant Form), and Warrant (Fixed Percentage Form).