Venture Capital Exit Strategies and Pitfalls: Share Conversions, ROFRs, Voting Rights, Employee Stock Options
A live 90-minute premium CLE video webinar with interactive Q&A
This CLE webinar will examine the issues founders and investors should consider in negotiating and drafting exit provisions connected with venture capital financing. The panel will discuss how best to navigate anti-dilution provisions, employee stock options, convertible securities, right of first refusal (ROFR), and co-sale provisions to ensure a successful future exit.
- Planning for the exit: initial considerations
- Anti-dilution provisions
- Employee stock options and grants
- Investor voting rights
- Registration rights
- ROFRs, co-sales, and other shareholder options
The panel will review these and other relevant issues:
- Why is it so important to consider the exit strategy when a venture capital investment is made?
- How might employee stock options and stock grants present issues in an acquisition transaction?
- What features of convertible securities and other shareholder rights can present problems for an IPO?
- What kinds of voting rights are "market" for early investors, and how do they affect later rounds?
Foley & Lardner
Ms. Allen is a strategic advisor for her clients, supporting leadership teams in complex decision making. Prior to... | Read More
Ms. Allen is a strategic advisor for her clients, supporting leadership teams in complex decision making. Prior to joining Foley, she was a founding partner at a corporate and transactional law firm, where she counselled startups and emerging companies on debt and equity financing, venture capital financing, commercial matters and general corporate matters including formations, corporate governance, structuring and share issuances across a variety of industries including AI, fintech, robotics and life sciences. Ms. Allen’s transactional experience includes mergers, acquisitions and divestitures, including domestic and cross-border buy-side and sell-side transactions in AR/VR, software, cybersecurity, telecommunications and healthcare industries. She draws on a depth of experience developed in a combination of law firms, business consulting firms and startups in both Canada and the U.S. She was previously managing counsel at a technology enabled law firm where in addition to her management role, she acted as external general counsel for clients from inception through exit.Close
Foley & Lardner
Mr. Chow is a business lawyer and a member of the firm’s Transactions Practice. Prior to joining Foley, he gained... | Read More
Mr. Chow is a business lawyer and a member of the firm’s Transactions Practice. Prior to joining Foley, he gained experience working with public and private mergers and acquisitions, investments, joint ventures, as well as other corporate transactions, with a focus on the Northern California market, across a wide variety of industries including technology, pharmaceuticals, medical devices, and real estate. Mr. Chow’s work also includes cross-border mergers and acquisitions transactions.Close
Brandee L. Diamond
Foley & Lardner
Ms. Diamond provides legal advice to investors, corporate boards, and public and private companies in a range of... | Read More
Ms. Diamond provides legal advice to investors, corporate boards, and public and private companies in a range of industries including life sciences, technology, food and beverage, apparel, print and digital media and financial services. She has extensive experience with complex domestic and cross-border transactions, corporate mergers and acquisitions, dispositions, minority investments, joint ventures and assisting with growth equity transactions, leveraged buyouts, going-private transactions, recapitalizations and exits. Ms. Diamond works in all aspects of the deal process including working with corporate boards and senior management on pre-acquisition planning, transaction structuring, drafting and negotiating acquisition, and related agreements and post-acquisition integration planning. In addition to her transactional work, she counsels emerging growth companies across the full spectrum of the company’s lifecycle including formation and development, compensation, financing and other corporate matters.Close
Foley & Lardner
Mr. Lehot focuses his practice on advising entrepreneurs and their management teams, investors and financial advisors... | Read More
Mr. Lehot focuses his practice on advising entrepreneurs and their management teams, investors and financial advisors at all stages of growth, from garage to global. He especially enjoys being able to help his clients achieve hyper-growth, go public and to successfully obtain optimal liquidity events. To assist his clients in realizing their objectives, Mr. Lehot brings to bear a broad array of legal and business instruments, processes and strategies, from formation to liquidity. He guides emerging private companies as they secure venture capital financing, prepare for IPO or de-SPAC, and navigate the exit. His domain experience in public offerings and private placements of equity, equity-linked, and debt securities, mergers, acquisitions, dispositions, spinoffs, strategic investments, and joint ventures, as well as corporate governance and securities law compliance matters, serves his clients well. Additionally, Louis regularly represents U.S. and non-U.S. registrants before the SEC, FINRA, NYSE and NASDAQ.Close