equity dilution; dilution

简明释义

股权收益减损

英英释义

Equity dilution refers to the reduction in existing shareholders' ownership percentages due to the issuance of new shares, which increases the total number of outstanding shares.

股权稀释是指由于新股份的发行导致现有股东的所有权比例减少,从而增加了总流通股份的数量。

Dilution generally occurs when a company raises additional capital by issuing new equity, which can diminish the value and voting power of existing shares.

稀释通常发生在公司通过发行新股筹集额外资金时,这可能会降低现有股份的价值和投票权。

例句

1.When a startup raises new capital, existing shareholders may experience equity dilution 股权稀释.

当一家初创公司筹集新资本时,现有股东可能会经历股权稀释 equity dilution

2.Founders must consider the impact of dilution 稀释 on their ownership stake during funding rounds.

创始人在融资过程中必须考虑稀释 dilution对其持股比例的影响。

3.The company's decision to issue more shares led to significant equity dilution 股权稀释 for early investors.

公司决定发行更多股份导致早期投资者的股权稀释 equity dilution显著增加。

4.A convertible note can cause equity dilution 股权稀释 when it converts into equity.

当可转换票据转为股权时,会导致股权稀释 equity dilution

5.Investors should be aware of dilution 稀释 when a company issues additional shares.

投资者在公司发行额外股份时应注意稀释 dilution

作文

In the world of finance and investment, understanding the concept of equity dilution is crucial for both investors and entrepreneurs. Equity dilution refers to the reduction in existing shareholders' ownership percentage of a company due to the issuance of new shares. This can occur during various stages of a company's growth, particularly when it seeks additional capital to fund operations, expand its market presence, or invest in new projects. While raising funds through new equity can be essential for a company's development, it often leads to a decrease in the value of existing shares, which can be concerning for current investors.When a company decides to issue more shares, it increases the total number of shares outstanding. For example, if a company has 1 million shares and decides to issue an additional 500,000 shares, the total becomes 1.5 million shares. If an investor owned 100,000 shares before the issuance, their ownership percentage would drop from 10% to approximately 6.67%. This is a clear example of dilution, as the investor's stake in the company has been reduced without any corresponding increase in the value of their shares.Investors often view equity dilution as a double-edged sword. On one hand, the influx of capital can help a company grow and potentially increase its overall market value. On the other hand, existing shareholders may see their earnings per share decrease, as profits are now spread over a larger number of shares. This can lead to dissatisfaction among investors, especially if they feel that their interests are not being adequately protected.To mitigate the effects of equity dilution, companies may offer existing shareholders the opportunity to purchase additional shares at a discounted rate, known as a rights offering. This allows current investors to maintain their ownership percentage if they choose to invest more capital. Additionally, companies can implement strategies such as buybacks, where they repurchase their own shares from the market, thereby reducing the total number of shares outstanding and helping to counteract dilution.Understanding dilution is also important for entrepreneurs seeking to raise capital. They must strike a balance between attracting investors and preserving their ownership stake in the company. For startup founders, this can be particularly challenging, as early-stage funding often comes with higher levels of equity dilution. Founders need to communicate effectively with potential investors about how the funds will be used and how they plan to grow the company, ultimately increasing the value of all shares over time.In conclusion, equity dilution is a significant factor in the financial landscape that affects both investors and companies. While it can provide necessary funding for growth, it also poses risks to existing shareholders. By understanding the implications of dilution and employing strategies to manage its effects, both companies and investors can navigate the complexities of equity financing more effectively. As the business environment continues to evolve, staying informed about equity dilution will remain essential for anyone involved in investing or entrepreneurship.

在金融和投资的世界中,理解股权稀释的概念对投资者和企业家来说至关重要。股权稀释是指由于新股的发行,现有股东在公司中的所有权比例减少。这种情况可能发生在公司成长的各个阶段,特别是在公司寻求额外资金以资助运营、扩展市场份额或投资新项目时。虽然通过新股筹集资金对公司的发展至关重要,但这往往会导致现有股份价值的下降,这可能会让当前投资者感到担忧。当一家公司决定发行更多股票时,它会增加已发行股票的总数。例如,如果一家公司的股票总数为100万股,并决定再发行50万股,则总数将变为150万股。如果某位投资者在发行前拥有10万股,他们的所有权比例将从10%降至大约6.67%。这是稀释的一个明确示例,因为投资者在公司中的股份已经减少,而其股份的价值并没有相应增加。投资者通常将股权稀释视为一把双刃剑。一方面,资本的涌入可以帮助公司增长,并可能增加其整体市场价值。另一方面,现有股东可能会看到每股收益下降,因为利润现在分散在更多的股份上。这可能导致投资者的不满,尤其是当他们觉得自己的利益没有得到充分保护时。为了减轻股权稀释的影响,公司可以为现有股东提供以折扣价购买额外股份的机会,这被称为优先认购。这使得当前投资者如果选择再投资,可以维持其所有权比例。此外,公司还可以实施回购策略,即从市场上回购自己的股票,从而减少已发行股票的总数,并帮助抵消稀释。理解稀释对寻求筹集资金的企业家也很重要。他们必须在吸引投资者和保留自己在公司中的所有权之间找到平衡。对于初创企业的创始人来说,这可能尤其具有挑战性,因为早期融资往往伴随着更高程度的股权稀释。创始人需要与潜在投资者有效沟通资金的使用方式以及他们计划如何增长公司,最终提高所有股份的价值。总之,股权稀释是影响投资者和公司的一个重要因素。虽然它可以为增长提供必要的资金,但也给现有股东带来了风险。通过理解稀释的影响并采用管理其影响的策略,公司和投资者都可以更有效地应对股权融资的复杂性。随着商业环境的不断演变,保持对股权稀释的了解对于任何参与投资或创业的人来说仍然至关重要。

相关单词

dilution

dilution详解:怎么读、什么意思、用法