You have started a company and are in lucka venture capitalist has offered to invest. You own

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You have started a company and are in luck—a venture capitalist has offered to invest.

You own 100% of the company with 5.28 million shares. The VC offers $1.02 million for 760,000 new shares.

a. What is the implied price per share?

b. What is the post-money valuation?

c. What fraction of the firm will you own after the investment?

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Fundamentals Of Corporate Finance

ISBN: 9781292437156

5th Global Edition

Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford

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Question Posted: Feb 21, 2024 10:00 AM

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You have started a company and are in lucka venture capitalist has offered to invest. You own

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a Implied price per share Investment amount Number of new shares 102 million 760000 shares 134 p...View the full answer

Fundamentals Of Corporate Finance

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