Comment by blindriver

21 hours ago

No. The last two investment tranches will get back their money, based on 1X liquidation preference. Employees who joined in the last 5 years if they got options are fucked. If they have RSUs then they will take a fraction of their equity.

It sounds like investors got out okay, but employees got fucked big time. It's a terrible exit and Brex waited too long until their growth stalled.

sorry how did employees get fucked? theres more money after the 1.7B.

  • All the investors before 2019 got multiples of their investment.

    So series B is worth about 250M and series C is worth about 625M. Series C-2 is worth about 1.5B. Series D is worth 425M and Series D2 is worth 300M because of LP. That's a total of 3B.

    That leaves 2B for everyone else. Most employees are going to get fucked big time, especially the ones after 2019. They will get a small fraction of their RSUs and all their options will be worthless, if they had options.

    • According to Peter Walker from Carta:

      > the company re-cap'd employees at a more realistic valuation a couple years back. So looks like all employees benefited here which is a major win. Respect to the founders for looking out!

Silicon Valley seems gamed against employees - it gets worse every year. Companies don't even share the cap table (including many YC companies).