medium · Private Equity pe-core
A SAFE (Simple Agreement for Future Equity) was issued with a $5M valuation cap and a 20% discount. In the next financing round, the pre-money valuation is $8M and the share price is $2.00.
If there were 4M pre-money shares, at what price will the SAFE convert?
- $2.00
- $1.00
- $1.60
- $1.25
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