Exercise of Over-allotment Option Notice

The Exercise of Over-allotment Option Notice is a legal template under USA law that outlines the exercise of the over-allotment option granted by an issuer to an underwriter in connection with an initial public offering (IPO) or a secondary offering of securities.

This notice serves as a formal communication by the underwriter to the issuer, expressing their intention to exercise the over-allotment option. The over-allotment option allows the underwriter to purchase additional shares of the issuer's securities at the offering price within a specified period, typically 30 days after the IPO or secondary offering.

The template includes essential details such as the names and contact information of the issuer and underwriter, reference to the original underwriting agreement, the total number of additional shares to be purchased, the corresponding offering price, and the deadline for exercising the over-allotment option.

This legal document ensures transparency and compliance with applicable laws and regulations, establishes the rights and obligations of both parties involved, and facilitates the smooth execution of the over-allotment option.