medium · Private Credit & Debt loan-structures-instruments
A venture debt lender provides $15.0M to a startup with 0.75% equity warrants.
If the company is sold for $500.0M and has $200.0M in senior liquidation preferences ahead of the common equity, what is the payoff for the warrants?
- $3.75M
- $15.0M
- $2.25M
- $1.50M
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