A contractual obligation used to protect a shareholder. It gives equity Investors the right to sell their stake in a company alongside other shareholders who elect to sell through an, otherwise, private transaction to a third party. Co-Sale rights are typically for amounts which are pro-rata to their participation in a series, relative to the other shareholders participating in the sale. Pertains only in equity structures.
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by bsmith@carofin.com | Feb 22, 2019
