Business Pitch Dictionary by pitch.dog
Term-sheet economics · Specialist

Original issue price

Also called: OIP

ELI5

The original price paid for the shares.

Used in conversation

“The liquidation preference is based on original issue price.”

Definition

The price at which a class or series of shares was originally issued.

Here “Original issue price” means: The price at which a class or series of shares was originally issued.

Pitch context

You will see “Original issue price” in fundraising decks, data rooms, term sheets and investor conversations when the discussion reaches term-sheet economics.

Why it matters: In term-sheet economics, a loose definition can change rights, obligations, approval, disclosure or enforceability.

Caution

Meaning, enforceability and required process vary by jurisdiction and agreement; this definition is not legal advice.

Sources & evidence · 5

Direct term-level sources and supporting source families.