Fundraising process & investor pipeline · Working

Super pro rata

ELI5

An investor wants to increase its ownership in the next round.

Used in conversation

“The company did not grant broad super pro rata rights.”

Definition

A right or request to invest more than the amount needed to maintain current ownership.

Here “Super pro rata” means: A right or request to invest more than the amount needed to maintain current ownership.

Pitch context

You will see “Super pro rata” in fundraising decks, data rooms, term sheets and investor conversations when the discussion reaches fundraising process & investor pipeline.

Why it matters: In fundraising process & investor pipeline, 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 · 6

Direct term-level sources and supporting source families.