Business Pitch Dictionary by pitch.dog
Valuation & conversion mechanics · Core

Price per share

Also called: share price

ELI5

The cost of one share.

Used in conversation

“Price per share follows from valuation and the agreed capitalisation.”

Definition

The amount paid for each share in an equity financing or transaction.

Here “Price per share” means: The amount paid for each share in an equity financing or transaction.

Pitch context

You will see “Price per share” in fundraising decks, data rooms, term sheets and investor conversations when the discussion reaches valuation & conversion mechanics.

Why it matters: In valuation & conversion mechanics, 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.