Company is sold for $2 billion and investor owns 15% without liquidation preference. so investor will get 15% x $2 billion = $300 million.
Nov 06 2013 07:17 PM
With Liquidation preference:
Investor invested $100mn
Due to 2x liq.pref, investor will first get $200mn ($100mn x 2)
Remaining amount left is $1.8 billion
Then investor will get 15% of $1.8bn which is $270mn
So total amount investor gets $270mn + $200mn = $470mn