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corporate actions · intermediate

OFS

An Offer for Sale is a exchange mechanism for promoters or shareholders to sell existing shares to the public.

OFS is commonly used by the government and promoters to dilute holdings in listed companies.

Bids are placed in a specialised OFS window with disclosed floor prices.

Retail and institutional portions may have different reservation rules.

Unlike an IPO, OFS does not create new shares or raise primary capital for the company.

Part of the Market Pulse Term of the Day series — factual market vocabulary, not investment advice.