Suppose that it is one year after EBVs investment in Newco, and Tall-tree makes a Series B investment for 6M
Suppose that it is one year after EBV’s investment in Newco, and Tall-tree makes a Series B investment for 6M shares of Newco at $0.2 per share. Following the Series B investment, what percentage of Newco (fully diluted) would be controlled by EBV? Consider the following cases:
Case I: Series A has no antidilution protection.
Case II: Series A has full-ratchet antidilution protection.
Case III: Series A has broad-base weighted-average antidilution protection.
Case IV: Series A has narrow-base weighted-average antidilution protection.
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