medium · Private Equity & LBOs
A management equity plan includes a performance-vesting component: 50% of the 10% pool vests over time, and the other 50% only vests if the sponsor achieves at least a 2.0x MOIC.
If the sponsor invests $200M and the exit equity value is $360M, what percentage of the total equity is management entitled to?
- 1.8%
- 5.0%
- 10.0%
- 0.0%
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