Glossary · Regional
ROFR (right of first refusal)
Definition
A clause giving the company and/or existing shareholders the right to match a proposed sale price before a shareholder can sell to an outside buyer.
Why it matters for a secondary
ROFR is the single most common reason a LatAm secondary takes weeks instead of days — the company and existing investors get a window to step in before an outside buyer can close.
Frequently asked questions
Does this term apply the same way everywhere in Latin America?
No. Each country in this glossary has its own regulator, corporate forms, and tax rules — this term is specific to the country tagged above. Check the linked country page for the fuller picture.
Is this legal or tax advice?
No. This is orientation for investors and allocators, not legal or tax advice. Confirm current rules with a licensed adviser in the relevant country before acting on anything here.