Vendor Placing

In the UK, a placing of securities in a publicly traded company that have been issued to the vendors of a company or business that is simultaneously being acquired by the issuer, where the vendors have received the securities as consideration in the acquisition and the placing enables them to receive cash for the securities.

Venture Capital

Originally financing provided for new higher risk ventures such as start-up companies. Over time, the term has expanded to also include investment in management buy-outs and other situations in which venture capitalists invest. Venture capital investments are generally characterised by high risk and an expectation of high return.

Venture Capitalist or VC

An individual or entity that specialises in providing venture capital financing.

Vesting (Stock, Options and Warrants)

The time at which a right to purchase securities becomes unconditional. Over a period of time an employee of a company earns rights to receive benefits (e.g., stock) as a result of that employment, though until the rights are earned the employee may not be able to claim ownership of the related benefits and those potential benefits are forfeitable. Restricted stock or options, or warrants to purchase stock that may not be sold or exercised, or that are subject to risk of forfeiture for a period of time, are ‘unvested’. That portion of the stock that is not subject to risk of forfeiture and that may be sold, or the options and warrants that may be exercised, are referred to as ‘vested’.

Volatility

The volatility of a stock describes the extent of its variance over time between high and low market prices. High volatility denotes a wide variation and low volatility, a more stable stock. See ‘Beta’.

Voting Trust

An agreement whereby a number of shareholders transfer stock and voting rights to one or more persons, called voting trustees, for a specific time period.