Global Depositary Receipt

A global depositary receipt is a security representing underlying shares in a company (or, in much rarer cases, debt). GDRs can represent fractions of shares or multiple shares. They can be issued by companies to raise capital in international markets or list on a non-domestic stock exchange. GDRscan be created by depositary banks on behalf of companies to facilitate trading by international investors, or by brokers without the company’s consentto facilitate over-the-counter trading.