“That’s the way we’ve always done it” is a phrase — and an attitude — that is often cited as a critical danger sign for any organization. In a fast-changing world — including the world of university start-ups — evolving and adapting to changing market conditions is imperative. And that applies perhaps most directly to two specific areas: the way equity stakes are handled, and the way exits are planned and executed.
Those changes are reflected in the rise of convertible notes and SAFE instruments as alternatives to typical start-up equity, and in the rise of special purpose acquisition companies as alternatives to traditional exits via acquisition or a traditional IPO.
To help TTOs and their startups assess these alternatives and weigh their pros, cons, risks, and benefits, we’ve assembled this detailed, two-session distance learning collection:
Here are some brief details of each program in the collection – click on the titles for more in-depth program and faculty details:
Michael J. Blankenship, partner in the Houston office of Winston and Strawn, LLP, leads this program and explains what a SPAC is and why it has become such a popular option for going public – and why it can be especially attractive for university start-ups that may be undersized and wish to avoid the more difficult route to a traditional IPO. You’ll gain keen insights into the benefits and risks associated with these fast-growing entities. Here’s a brief look at the agenda:
- Why have SPACS become so popular globally?
- What is the current state of the U.S. SPAC IPO market?
- What are the current terms?
- Who are the current investors?
- Is it here to stay?
- What is a “de-SPAC” transaction?
- What role does a PIPE (private investment in public equity) offering play?
- Why a SPAC over a traditional IPO?
- What are the benefits for university start-ups?
- What are the risks?
This session will provide you with an understanding of the structure of convertible notes and SAFE instruments for seed-stage financing – and how they can benefit university start-ups and TTOs by simplifying the licensing process and deferring the difficult task of valuation. Benjamin Kern, partner at Winston and Strawn, will also define critical terms and identify appropriate triggers for converting debt to equity. He provides:
- An understanding of the structure and strategic objectives of convertible notes and SAFEs
- Tools to evaluate and compare convertible instruments
- Examples of how convertible notes may be used effectively in university start-up licenses
- Strategic guidance on appropriate terms and triggers for converting debt to equity
- How convertible notes and SAFEs can fit into a university start-up licensing program
With your purchase you receive:
- On-Demand Video access with closed captions to all programs (unlimited viewings for you and your office)
- Access to all of the original program materials including slideshows and handouts for attendees
