Glossary Index / Seller Rollover

Seller Rollover

Seller rollover is where the buyer gives the seller a portion of the purchase price as stock in the company they’re acquiring from the seller. Sellers might consider it if they believe in the potential growth of the company or the group acquiring their company.

Sellers should consider the price per share, how the buyer calculated that value, and the terms and conditions of those shares. Unless the buyer is a public company, the shares are unlikely to be liquid.