Treasury Offering

Treasury Offering

The sale of a company's treasury shares to investors. Treasury shares are stock that a publicly-traded company issues but does not place with investors, or which it has bought back from shareholders. Selling treasury shares to the public can be a less expensive way for the company to raise capital because the amount it spent issuing them previously is a sunk cost. However, it should be noted that a treasury offering is not necessarily beneficial to shareholders as it can cause dilution of holdings.