Piggyback Registration Rights Law and Legal Definition

Piggyback registration right is a type of registration right that allows an investor to register his/her unregistered stock when the company or an investor of the company initiates a registration. It allows an investor to take part in an IPO filing initiated by a company. Such rights are inferior to demand registration rights. When piggyback registration rights are exercised, the securities underwriter will include those existing ownership shares along with an offering of new public shares. Granting piggyback registration rights is usually included in the stockholders agreement.