followon

Follow-on, sometimes written as follow-on or followon, is a term used to indicate something that follows a previous item or event. It can function as a noun, adjective, or verb phrase, depending on context. Common uses include finance, venture capital, sports, and product development.

In finance, a follow-on offering (FPO), also called a follow-on public offering, refers to the sale of additional shares by a company that has already completed an initial public offering. A follow-on can be primary (new shares issued by the company), secondary (existing shares sold by shareholders), or a mix. It is used to raise capital, provide liquidity, or fund expansion; pricing and timing depend on market conditions and underwriter arrangements.

In venture capital and startups, a follow-on round describes additional funding provided to a portfolio company after an initial investment. These rounds, often called later-stage rounds, aim to support growth, fundraising, hiring, or product expansion. Terms, valuation, and investor participation vary by company performance and market conditions.

In cricket, the follow-on is a rule that allows a team trailing by a substantial margin in multi-day matches to be required to bat again immediately after the first innings. The rule is not used in limited-overs formats.

In product or media development, a follow-on product or release is a successor to an earlier version, intended to improve features, performance, or reach.

Etymology: derived from the verb phrase “to follow on,” with hyphenation common in British English.

See also: follow-on public offering; secondary offering; sequel.