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Warrants Cashless Exercise Update

December 16, 2024

Update to Cap Table and Exit Waterfall Tool:

  • Edited Exit Waterfall and Exit Waterfall, Extended sheets to fix how warrants are exercised cashless. Previously the cashless exercise would result in the proceeds distribution check being off because the foregone proceeds from the cashless exercise was not accounted for going back to other shareholders. The method was changed to adjust the number of shares issued tot he warrant holders by the value of the foregone proceeds by the cashless exercise, if that option is selected. Thank you Preten for finding this.
  • I also adjusted the Exit Waterfall, Simple sheet for calculating proceeds to warrants; previously the method subtracted out the foregone proceeds from warrant holders and added them back to the other sharedholders, which resulted in the same result, but I adjusted the calcs to use the same method of adjusting the shares so that the methods are consistent.