Created by: kirb
Number of Blossarys: 2
The process by which the holder of a security in a private company achieves liquidity. Unlike public companies, private companies have no trading market for the resale of securities. The normal exit ...
The price that must be paid by a security holder in order to convert a convertible security. The exercise price is also referred to as the strike price. If an option holder's exercise price is $.50, ...
A fund that reinvests its profits in order to ensure the availability of capital for future investments.
The failure of a company to satisfy its contractual agreements and covenants in loan agreements and mezzanine securities documents. Common events of default include failure to pay principal, ...
Has three meanings. Equity is the opposite of debt and represents the residual economic ownership or claims in a company after the claims of all creditors have been satisfied. Common stock and ...
The sum of the market values of the common stock and long term debt of a company, minus cash.
A plan established by a company to reserve shares for long-term incentive compensation for employees.