EBV has invested a $10M Series A investment in Newco. EBV estimates three possible outcomes with an
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Question:
I. a 30 percent probability for a successful exit, with an exit valuation of $500M.
II. a 20 percent probability of failure with $0 value.
III. Redemption of original investment with 2x liquidation preference.
What is the valuation for GPs?
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Venture capital and the finance of innovation
ISBN: 978-0470454701
2nd Edition
Authors: Andrew Metrick
Posted Date: