EBV is considering a $6M Series A investment for 6M shares of CP at $1 per share.
Question:
EBV is considering a $6M Series A investment for 6M shares of CP at $1 per share. The proposed capitalization table for Newco is as follows:
(a) What are the OPP and APP for the Series A?
(b) What is the fully diluted share count?
(c) What is the proposed ownership percentage?
(d) What is the post-money valuation?
(e) What is the pre-moneyvaluation?
Transcribed Image Text:
EXHIBITO CAPITALIZATION TABLE FOR NEWCO Prefinancing Postfinancing Se # of Shares # of Shares curity Common -Founders Common Employee Stock Pool 15,000,000 3,000,000 600,000 2,400,000 83.3 16.7 3.3 13.4 0.0 100 15,000,000 3,000,000 600,000 2,400,000 6,000,000 24,000,000 62.5 12.5 2.5 10.0 25.0 100 Issued Unissued Series A Preferred Total 18,000,000
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 45% (11 reviews)
Pre Series A PostSeries A Security Shares Shares CommonFounders 15000000 833 1500...View the full answer
Answered By
David Ngaruiya
i am a smart worker who concentrates on the content according to my clients' specifications and requirements.
4.50+
7+ Reviews
19+ Question Solved
Related Book For
Venture capital and the finance of innovation
ISBN: 978-0470454701
2nd Edition
Authors: Andrew Metrick
Question Posted:
Students also viewed these Managerial Accounting questions
-
EBV is considering a $5M Series A investment in Newco. EBV proposes to structure the investment as 6M shares of convertible preferred stock. The employees of Newco have claims on 10M shares of common...
-
Current ratio is chiefly used to assess the A effective utilization of capital B C D E application of debt liquidity position levels of inventory piled up in different forms. prompt payment of...
-
Suppose EBV is considering a $5M Series A investment in Newco. EBV proposes to structure the investment as 5M shares of CP. The employees of Newco have claims on 15M shares of common stock. Following...
-
3. Using an AD-AS model, can you answer whether a tax that improves people's health could have any potential long-term benefits for the economy.
-
Sean, a new graduate at a telecommunications firm, faces the following problem his first day at the firm: What is the average rate of return for a project that costs $200,000 to implement and has an...
-
Name and explain the four elements that a contract must have to be valid. LO.1
-
Total 4308.1 23 a. Find the sum of squares for the treatments and the error term. b. Find the mean of squares for the treatments and the blocks. c. Specify the null and alternative hypotheses you...
-
Tell whether each of the following transactions related to an office building is a revenue expenditure (RE) or a capital expenditure (CE). In addition, indicate whether each transaction is an...
-
Harris Company manufactures and sells a single product. Required: 1. A partially completed schedule of the company's total and per unit costs over the relevant range of 60,000 to 100,000 units...
-
A plant manager is considering investing in a new $30,000 machine. Use of the new machine is expected to generate a cash flow of about $8,000 per year for each of the next five years. However, the...
-
True, False, or Uncertain: After a portfolio company has an IPO, the VCs are free to sell their stock in this company in the public market.
-
Suppose that it is one year after EBVs investment in Newco, and Tall-tree makes a Series B investment for 6M shares of Newco at $0.2 per share. Following the Series B investment, what percentage of...
-
Calculate the volume of the region W in Exercise 33 as a triple integral in the following orders: (a) dx dz dy (b) dy dz dx Data From Exercise 33 Let W be the region bounded by z = 1 y 2 , y = x 2 ,...
-
HOW DO WE CONNECT SAILORS TO THEIR PAST IN ORDER TO TEACH VALUES, HENCE ENHANCING PRIDE IN SERVICE TO OUR COUNTRY?
-
Making this substitution using 12 sin(x) cos(x) dx gives us 12 sin(x) (1-sin(x)) cos(x) dx = 12 sin(x) cos(x) dx-
-
For MNEs In light of the pandemic, do you agree that globalisation is in retreat? Why?
-
How do emergent states such as cohesion, potency, and mental models influence team effectiveness and performance in complex and dynamic environments ?
-
2. How do you feel about the progress IKEA Group has made in implementing this plan? I'm looking for analysis for 2-3 pages with a minimum of 3-4 references for this case. Case study: Sustainability...
-
Plantagenet Corp. offered holders of its 1,000 convertible bonds a premium of $160 per bond to induce conversion into shares of its common stock. Upon conversion of all the bonds, Plantagenet Corp....
-
Suppose Green Network Energy needs to raise money to finance its new manufacturing facility, but their CFO does not think the company is financially capable of making the periodic interest payments...
-
In the text we constructed congruent triangles by using SAS. Reproduce the triangle shown in Problem 27 by using ASA. This means to construct the triangle by using a side included between two angles....
-
Benoit Company produces three products, A, B, and C. Data concerning the three products follows (per unit): Demand for the companys products is very strong, with far more orders each month than the...
-
Delta Company produces a single product. The cost of producing and selling a single unit of this product at the companys normal activity level of 60,000 units per year is: The normal selling price is...
-
Bed & Bath, a retailing company, has two departments, Hardware and Linens. The companys most recent monthly contribution format income statement follows: A study indicates that $340,000 of the fixed...
-
During the month of September,the Cider Pressing Company is trying to determine how much cider they are going to sell in October and November. One gallon of cider typically sells for $7 per gallon....
-
This is very confusing please help with descriptions if possible. Complete this question by entering your answers in the tabs below. Prepare a master budget for the three-month period ending June 30...
-
Doug recibe un dplex como regalo de su to. La base del to para el dplex y el terreno es de $90,000. En el momento de la donacin, el terreno y el edificio tienen un FMV de $40 000 y $80 000,...
Study smarter with the SolutionInn App