liquidity event

liquidity event definition - finance
Describes how an investor is going to realize a profit on an investment in a non-public company. The term is typically used in the venture capital industry. Liquidity events typically occur by issuing stock through an initial public offering (IPO) or through an acquisition by a larger company. Also called exit strategy.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

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