Negotiated Underwriting
A process in which both the purchase price and the offering price for a new issue are negotiated between the issuer and a single underwriter.
Investopedia Commentary
The underwriter pays the issuer a purchase price, and the public pays the offering price. The spread between the purchase price and the public offering price represents the proceeds to the underwriter.
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IPO Basics Tutorial
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See also: Competitive Bid, Initial Public Offering - IPO, Issuer, New Issue, Public Offering Price - POP, Underwriting