What happens if my company is acquired?
For company officers: When a company that is using Carta is acquired, Carta works closely with the company, the acquirer, and their service providers (law firms, paying agents, etc.) on the transaction. In our experience, all shares of the company being acquired are converted into either cash or shares of the acquiring company. Each merger transaction can vary significantly, so it is important to contact Carta as soon as possible to assist with the transaction.
For stockholders and option holders: Your company will provide you with instructions on how to exchange your certificates for cash or stock in the acquiring company. If you have accepted your electronic stock certificate, a paper stock certificate will not be required in order to exchange your shares for cash or shares of the acquiring company. If you have not accepted your electronic stock certificate on Carta, you may need to return your paper certificate to the company, the acquirer or the paying agent in order to exchange your shares for the merger consideration.