Glossary

DRHP (Draft Red Herring Prospectus)

A DRHP, or Draft Red Herring Prospectus, is the preliminary IPO document a company files disclosing its business, financials, and risks, before the final price band is set.

What It Means

A DRHP, or Draft Red Herring Prospectus, is the preliminary document a company files with regulators before an IPO. It lays out the business, its financials, and the risks an investor should know about, but it's deliberately incomplete: the final price band and the exact number of shares on offer aren't in it yet. Those get added later, once the issue is priced.

DRHP Meaning: Draft Red Herring Prospectus | TraderStack