earnout
Noun
Meaning
earnout (plural earnouts)
(business, finance) A formula by which the management of a company earns a share of the company's share capital by achieving results above pre-determined levels.
Anagrams
Examples
Aphria says SweetWater will be eligible to receive up to $66 million of additional cash under an earnout through the end of calendar year 2023.
Existing Open Lending equity holders have the potential to receive an earnout of additional shares of common stock of the Company, if certain stock price targets are met as set forth in the definitive business combination agreement.
Sweetwater will receive $250 million in cash and about $50 million in Aphria stock at closing and be eligible to receive up to $66 million of additional cash under an earnout through the end of 2023.