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EB Exchange Funds - Summary
EB Exchange Funds creates partnerships that enable entrepreneurs who are Accredited Investors to pool their pre-IPO stock. EB has created 4 funds to date representing approximately 100 venture-backed companies. The Funds enable entrepreneurs to diversify highly concentrated, illiquid equity positions and to share in the upside of the liquidity events of multiple companies. There is no cash investment in our exchange funds, only stock.
Founders and entrepreneurs that own a significant amount of stock in private companies backed by top-tier venture capital firms contribute a small portion of their personal stock in exchange for a limited partnership interest in a portfolio diversified by industry and stage of development.
Once the portfolio is created, entrepreneurs who contribute their stock become limited partners in what is essentially a venture capital fund, sharing in the proceeds from all of the companies' IPOs, mergers and acquisitions.
The stock from each Accredited individual invited to participate in an EB Exchange Fund must meet stringent criteria, have the backing of a top venture firm, and must ultimately be approved by the other participants.
EB's second fund, EBX II, L.P., had 26 companies in its portfolio. To date, 15 of those companies have had exits. The participants and results of all funds are strictly confidential.
EB closed its third partnership, EBX III, L.P., in December 2007 with 30 companies.
EBX IV, L.P. had its final closing in January of 2009 with 28 exceptional companies.
This Web site is for informational purposes only. This Web site is in no way a solicitation of offer to sell securities or investments. Nothing in this Web site should be interpreted to state or imply that past results are an indication of future performance.