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VCA is considering a $6M Series A investment for 6M shares of CP at $1 per share. The proposed capitalization table for the portfolio company,
VCA is considering a $6M Series A investment for 6M shares of CP at $1 per share. The proposed capitalization table for the portfolio company, Newco, is as follows:
Pre Series A | Post-Series A | ||||||
Security | # Shares | % | # Shares | % | |||
Common-Founders | 15,000,000 | 83.3% | 15,000,000 | 62.5% | |||
Common-Employee Stock Pool | 3,000,000 | 16.7% | 3,000,000 | 12.5% | |||
Issued | 600,000 | 3.3% | 600,000 | 2.5% | |||
Unissued | 2,400,000 | 13.3% | 2,400,000 | 10.0% | |||
Series A Preferred | 0 | 0.0% | 6,000,000 | 25.0% | |||
Total | 18,000,000 | 100.0% | 24,000,000 | 100.0% |
1). What are the OPP and APP for the Series A? 2). What is the fully diluted share count? 3). What is the proposed ownership percentage? 4). What is the post-money valuation? 5). What is the pre-money valuation?
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