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How to do part c and d? 23-8. BitBox has raised S10 million in a Series A round with $40 million post-money value and a
How to do part c and d?
23-8. BitBox has raised S10 million in a Series A round with $40 million post-money value and a 1.5x liquidation preference, and S25 million in a Series B round with a $75 million post-money value and a 3x liquidation preference plus seniority over Series A. What will Series A, Series B, and common shareholders receive if BitBox is sold for a. $85 million? b. $100 million? c. S200 million? d. S300 million? Series A liquidation preference = 10 x 1.5-$15m, ownership-10/40 x 50/75-16.67%, Series B liquidation preference-25 x 3-$75m, ownership-25/75-33.33%. Common owns 50%. a. $75 to B, $10 to A b. $75 to B, $15 to A, $10 to common. c. 75 to B, A converts and gets $125 x (16.67(16.67+50) $31.25m, common gets $93.75 d. A and B convert, so A gets 16.67%(300)-50, B gets 33394300-100, and common gets $150Step by Step Solution
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