For startup founders, few concepts are as important—or as commonly misunderstood—as dilution. It often first arises during a financing round, when investors receive equity (i.e., shares) in exchange ...

Stock dilution occurs when a company issues additional shares, resulting in a decrease in the ownership percentage of existing shareholders. The reduction in ownership can significantly impact the ...

Founders frequently underestimate the equity dilution impacts of funding rounds and employee stock option plans (ESOPs). Consider two stark examples: Eric Yuan's ownership in Zoom dwindled to 22% by ...

Rivian Automotive has launched another green convertible senior note offering, posing dilution risks to investors. The company has raised $1.5 billion in cash through this offering, adding to the $1.3 ...

Palantir's significant revenue growth is overshadowed by high equity dilution, resulting in negative per-share revenue growth and diminished shareholder value over the past 3 years. Stock-based ...