Just call us Bond. Amortized bond.
Over 700 finance terms, Shmooped to perfection.
A transaction that is conditional because the security has been authorized to have been issued, but has not yet been issued. This applies to IPOs, secondary offerings and stock splits. Trading can occur in these shares, but the transactions are subject to the shares actually coming into existence. If for some reason they don't, the transaction is canceled.
Shmoop Enterprises Global or SHMEG decides to spin off its European business as a separate company based in Paris. (We like the food.) So we declare that all shareholders of SHMEG will get 0.35 shares of SHMEUR, a new company to be spun off of the parent. The spin will officially happen on May 4th (our favorite day of the year, duh). But they can begin trading in March as "when-issued" so that people who really want SHMEUR can rush to the head of the line.