A tender offer is a bid made directly to holders to buy their shares or fund interests at a stated price within a set time window. In private markets it is common in secondaries.
What the video says
In secondaries, a buyer can make every holder the same offer. It's called a tender offer. Say a buyer offers twelve dollars a share, open for twenty days. Say a hundred holders get it. Thirty accept. Thirty sell. Seventy stay. Holders who want out, sell. Those who don't, keep their shares. In private markets, it's common in secondaries. A buyer, or the manager, offers to buy investors' fund stakes. Terms often need a minimum to accept, and can be extended. So why do investors care? Each holder can say yes or no alone. A flexible way out. One offer. Everyone chooses.
In the glossary: Tender offer
A simple example with round numbers, not advice. Terms vary by fund.
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