Series B Preferred Shares definition: Copy, customize and use instantly
Introduction
The term "Series B Preferred Shares" refers to a specific class of preferred stock issued during a company's Series B financing round. These shares typically grant investors rights such as dividend preferences, liquidation preferences, conversion privileges, and anti-dilution protections. They play a crucial role in venture capital and private equity investments, helping companies raise additional funds while providing structured benefits to investors.
Below are various examples of how "Series B Preferred Shares" can be defined in different contexts. Copy the one that fits your needs, customize it, and use it in your contract.
Definition of "Series B Preferred Shares" as equity securities
This definition ties "Series B Preferred Shares" to the company's capital structure.
"Series B Preferred Shares" means the preferred shares designated as Series B, carrying the rights, preferences, and privileges as outlined in the company’s charter documents.
Definition of "Series B Preferred Shares" as dividend-entitled shares
This definition connects "Series B Preferred Shares" to dividend distribution rights.
"Series B Preferred Shares" refers to the preferred stock that entitles the holder to a fixed or cumulative dividend before any dividends are paid to common shareholders.
Definition of "Series B Preferred Shares" as convertible shares
This definition links "Series B Preferred Shares" to conversion rights.
"Series B Preferred Shares" means the shares that may be converted into common stock at the option of the holder or upon specific corporate events as detailed in the applicable agreements.
Definition of "Series B Preferred Shares" as liquidation-preferred stock
This definition applies "Series B Preferred Shares" to liquidation priority.
"Series B Preferred Shares" refers to the class of preferred shares that rank senior to common shares in the distribution of assets upon liquidation, as per the company’s governing documents.
Definition of "Series B Preferred Shares" as voting shares
This definition relates "Series B Preferred Shares" to voting rights.
"Series B Preferred Shares" means the preferred stock that grants the holders certain voting rights, including veto rights on specific corporate actions.
Definition of "Series B Preferred Shares" as preferred stock issued for financing
This definition links "Series B Preferred Shares" to capital raising.
"Series B Preferred Shares" means the preferred stock issued by the company as part of a funding round to raise capital, with the rights and preferences outlined in the investment agreement.
Definition of "Series B Preferred Shares" as investor-protective shares
This definition applies "Series B Preferred Shares" to investor protections.
"Series B Preferred Shares" refers to the preferred shares that include anti-dilution protection, liquidation preference, and board representation rights for investors.
Definition of "Series B Preferred Shares" as restricted shares
This definition connects "Series B Preferred Shares" to transferability restrictions.
"Series B Preferred Shares" means the preferred shares that may only be transferred or assigned with prior approval, as per the applicable shareholder agreements.
Definition of "Series B Preferred Shares" as redeemable shares
This definition ties "Series B Preferred Shares" to redemption rights.
"Series B Preferred Shares" refers to the preferred stock that may be redeemed by the company under certain conditions specified in the articles of incorporation.
Definition of "Series B Preferred Shares" as stock with participation rights
This definition applies "Series B Preferred Shares" to participation in company distributions.
"Series B Preferred Shares" means the preferred shares that allow holders to participate in additional distributions alongside common shareholders after receiving their preferred returns.
Definition of "Series B Preferred Shares" as cumulative dividend shares
This definition ties "Series B Preferred Shares" to accumulated dividend rights.
"Series B Preferred Shares" means the preferred shares that accrue dividends over time, which must be paid before any dividends are issued to common shareholders.
Definition of "Series B Preferred Shares" as non-cumulative dividend shares
This definition connects "Series B Preferred Shares" to a non-cumulative dividend structure.
"Series B Preferred Shares" refers to the preferred stock that does not accumulate unpaid dividends and only receives dividends when declared by the board.
Definition of "Series B Preferred Shares" as mandatory conversion shares
This definition links "Series B Preferred Shares" to mandatory conversion events.
"Series B Preferred Shares" means the preferred stock that will automatically convert into common shares upon specific corporate events, such as an IPO or a merger.
Definition of "Series B Preferred Shares" as senior-ranking shares
This definition applies "Series B Preferred Shares" to seniority in capital structure.
"Series B Preferred Shares" refers to the preferred shares that rank senior to Series A Preferred Shares but may be subordinate to future classes of preferred stock.
Definition of "Series B Preferred Shares" as junior-ranking shares
This definition ties "Series B Preferred Shares" to a lower preference hierarchy.
"Series B Preferred Shares" means the preferred stock that ranks junior to certain debt instruments but senior to common stock in liquidation and dividend payments.
Definition of "Series B Preferred Shares" as shares with board representation rights
This definition relates "Series B Preferred Shares" to governance rights.
"Series B Preferred Shares" refers to the preferred stock that entitles holders to elect one or more directors to the company's board, as specified in the shareholder agreements.
Definition of "Series B Preferred Shares" as preference-adjusted shares
This definition connects "Series B Preferred Shares" to varying liquidation preferences.
"Series B Preferred Shares" means the preferred shares that may have their liquidation preference adjusted based on specific financial or operational milestones.
Definition of "Series B Preferred Shares" as pari passu preferred shares
This definition links "Series B Preferred Shares" to equal ranking with other preferred stock.
"Series B Preferred Shares" refers to the preferred shares that rank equally with another class of preferred stock in terms of dividends and liquidation rights.
Definition of "Series B Preferred Shares" as preferred shares with protective provisions
This definition applies "Series B Preferred Shares" to investor protections.
"Series B Preferred Shares" means the preferred stock that requires investor approval for major corporate actions, including mergers, asset sales, and new share issuances.
Definition of "Series B Preferred Shares" as callable preferred shares
This definition ties "Series B Preferred Shares" to call provisions.
"Series B Preferred Shares" refers to the preferred stock that the company has the right to repurchase at a predetermined price after a specified period.
Definition of "Series B Preferred Shares" as voting-restricted shares
This definition connects "Series B Preferred Shares" to limited voting rights.
"Series B Preferred Shares" means the preferred stock that carries limited or no voting rights, except in certain specified matters affecting the rights of preferred shareholders.
Definition of "Series B Preferred Shares" as fully participating shares
This definition links "Series B Preferred Shares" to participation beyond preferences.
"Series B Preferred Shares" refers to the preferred stock that participates fully in any remaining distributions after satisfying the liquidation preference.
Definition of "Series B Preferred Shares" as anti-dilution protected shares
This definition applies "Series B Preferred Shares" to protection against dilution.
"Series B Preferred Shares" means the preferred stock that includes anti-dilution protections, ensuring adjustments to conversion prices in the event of future down-round financings.
Definition of "Series B Preferred Shares" as restricted transfer shares
This definition ties "Series B Preferred Shares" to transfer limitations.
"Series B Preferred Shares" means the preferred stock that is subject to transfer restrictions, requiring prior approval or compliance with specific conditions before being sold or assigned.
Definition of "Series B Preferred Shares" as shares with liquidation multiple
This definition connects "Series B Preferred Shares" to a specified liquidation payout.
"Series B Preferred Shares" refers to preferred stock that provides holders with a multiple of their original investment in the event of a liquidation or exit event.
Definition of "Series B Preferred Shares" as shares with redemption rights
This definition links "Series B Preferred Shares" to company buyback options.
"Series B Preferred Shares" means the preferred stock that grants shareholders the right to require the company to repurchase their shares under certain conditions.
Definition of "Series B Preferred Shares" as shares with dividend step-up
This definition applies "Series B Preferred Shares" to increasing dividend structures.
"Series B Preferred Shares" refers to preferred stock that includes a dividend rate that increases over time if certain company performance thresholds are not met.
Definition of "Series B Preferred Shares" as shares with super voting rights
This definition ties "Series B Preferred Shares" to enhanced voting power.
"Series B Preferred Shares" means the preferred stock that provides holders with multiple votes per share on specified corporate matters, ensuring greater influence over company decisions.
Definition of "Series B Preferred Shares" as shares with accrued but unpaid dividends
This definition connects "Series B Preferred Shares" to deferred dividend rights.
"Series B Preferred Shares" refers to preferred stock where dividends accrue even if they are not immediately declared or paid, accumulating until payment is possible.
Definition of "Series B Preferred Shares" as convertible upon funding milestone shares
This definition links "Series B Preferred Shares" to milestone-based conversion.
"Series B Preferred Shares" means the preferred stock that converts into common stock upon the company reaching a specified revenue, profitability, or fundraising milestone.
Definition of "Series B Preferred Shares" as shares with priority distribution rights
This definition applies "Series B Preferred Shares" to preferential payouts.
"Series B Preferred Shares" refers to preferred stock that entitles holders to receive distributions before other equity holders in the event of dividends or liquidation.
Definition of "Series B Preferred Shares" as perpetual preferred shares
This definition ties "Series B Preferred Shares" to indefinite lifespan.
"Series B Preferred Shares" means the preferred stock that does not have a maturity date and remains outstanding indefinitely unless redeemed or converted.
Definition of "Series B Preferred Shares" as shares with cap on participation
This definition connects "Series B Preferred Shares" to limited upside participation.
"Series B Preferred Shares" refers to preferred stock that allows holders to participate in company profits beyond their liquidation preference, but only up to a predetermined cap.
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