Exit Strategy
Investors Control
Investors can exercise flexibility through various exit mechanisms, choosing optimal timing based on their investment goals and market conditions.
Growth Rate Accumulation & Conversion
For CCPS: Valuation Cap with Discount
- Protected by better of: ₹100 Cr valuation cap OR 30% discount on next round
- Automatic conversion upon Qualified Financing (₹10 Cr+ raise, ₹100 Cr+ pre-money)
- Below ₹142.86 Cr: Discount is better (gives more shares)
- Above ₹142.86 Cr: Cap is better (gives more shares)
- Conversion price calculated on pre-conversion equity shares (1,00,000)
For CCPS: Growth Rate
- Accumulates 35% to 50% annual growth (simple interest) until qualified financing
- Automatic conversion upon Qualified Financing (₹10 Cr+ raise, ₹100 Cr+ pre-money)
- Conversion at: Principal + Accumulated Growth Amount
- Shares calculated at next round's share price
Time-Based Conversion Options (December 2027)
- If no Qualified Financing occurs before December 31, 2027, the conversion will be done based on the professional valuation.
CCPS Assignment Rights
- Transfer CCPS to qualified investors (with company consent)
- 90-day approval process
- Subject to Right of First Refusal (ROFR) provisions
Post-Conversion Secondary Sales
- Sell equity shares to existing shareholders
- Sell to new qualified investors (subject to ROFR)
- Tag-along rights on founder share sales
- Drag-along rights for majority-approved exits
Management Control
The management will carefully assess and execute these options at optimal timing, always acting in the best interests of investors.
Initial Public Offering (IPO)
- Public listing when company achieves scale (example ₹100+ Cr revenue)
- CCPS converts to equity shares automatically prior to IPO
- Maximum liquidity for all investors
Management Buyback
- Company repurchases CCPS/equity at fair market value
- Funded through cash flow or debt financing
- Subject to board approval and valuation process
Strategic Acquisition
- Sale to agricultural/technology companies
- Premium valuation over financial buyers
Out of Control
Management will initiate these measures when situations are beyond control, ensuring proactive steps to address challenges effectively.
Distress Merger & Acquisition
- Merger with competitor to preserve value
- Partial investment recovery in distress scenarios
Liquidation
- Asset sale and proceeds distribution
- CCPS holders have liquidation preference over common equity
- Priority ranking: CCPS holders → Common equity holders
SHARE CAPITAL STRUCTURE
| Parameter | Authorized | Paid Up |
|---|---|---|
| Equity Capital | ₹10,00,000 (10,00,000 shares) | ₹1,00,000 (1,00,000 shares - Founders) |
| CCPS Capital | ₹2,00,00,000 (2,00,00,000 shares) | Nil |
| Total | ₹2,10,00,000 | ₹1,00,000 |
Face Value: ₹1 per share | Valuation Cap: ₹100 Crore
CONVERSION EXAMPLES
CCPS: Valuation Cap with Discount
For ₹1 Lakh Investment (1,00,000 CCPS)
| Future Valuation | Better Option | Conv. Price | Shares | Post-Conv Total | Share Value | Return |
|---|---|---|---|---|---|---|
| ₹25 Cr | Discount | ₹1,750 | 57.14 | 1,11,429 | ₹1,28,205 | 1.28x |
| ₹50 Cr | Discount | ₹3,500 | 28.57 | 1,05,714 | ₹1,35,135 | 1.35x |
| ₹100 Cr | Discount | ₹7,000 | 14.29 | 1,02,857 | ₹1,38,889 | 1.39x |
| ₹200 Cr | Cap | ₹10,000 | 10.00 | 1,02,000 | ₹1,96,078 | 1.96x |
| ₹300 Cr | Cap | ₹10,000 | 10.00 | 1,02,000 | ₹2,94,118 | 2.94x |
| ₹500 Cr | Cap | ₹10,000 | 10.00 | 1,02,000 | ₹4,90,196 | 4.90x |
CCPS: Growth Rate (50%, 2 Years)
For ₹1 Lakh Investment → ₹2 Lakh Guaranteed Conversion Value
| Future Valuation | Conversion Price | Investor Shares | Post-Conv Total | Share Value | Return |
|---|---|---|---|---|---|
| ₹25 Cr | ₹2,100 | 95.24 | 1,19,048 | ₹2,00,000 | 2.00x |
| ₹50 Cr | ₹4,600 | 43.48 | 1,08,696 | ₹2,00,000 | 2.00x |
| ₹100 Cr | ₹9,600 | 20.83 | 1,04,167 | ₹2,00,000 | 2.00x |
| ₹300 Cr | ₹29,600 | 6.76 | 1,01,351 | ₹2,00,000 | 2.00x |
| ₹500 Cr | ₹49,600 | 4.03 | 1,00,806 | ₹2,00,000 | 2.00x |
POST-CONVERSION OWNERSHIP
At ₹200 Cr Valuation (Valuation Cap Applied)
| Shareholder | Pre-Conversion | Post-Conversion | Ownership % |
|---|---|---|---|
| Founders | 1,00,000 equity | 1,00,000 equity | 98.04% |
| CCPS Investors | 2,00,00,000 CCPS | 2,000 equity | 1.96% |
| Total | - | 1,02,000 | 100% |
At ₹100 Cr Valuation (Discount Applied)
| Shareholder | Pre-Conversion | Post-Conversion | Ownership % |
|---|---|---|---|
| Founders | 1,00,000 equity | 1,00,000 equity | 97.22% |
| CCPS Investors | 2,00,00,000 CCPS | 2,857 equity | 2.78% |
| Total | - | 1,02,857 | 100% |
CONVERSION FORMULA
Valuation Cap with Discount
Conversion Price = LOWER of:
- Cap Price = ₹100 Cr / 1,00,000 = ₹10,000
- Discounted Price = Future Valuation × 70% / 1,00,000
Investor Equity Shares = Investment / Conversion Price
Total Post-Conv Shares = 1,00,000 + (Total CCPS Investment / Conversion Price)
Share Value = (Investor Shares / Total Post-Conv Shares) × Future Valuation
Growth Rate
Conversion Value = Principal + (Principal × Rate × Years)
Conversion Price = (Future Valuation - Total Growth Rate CCPS Conversion Value) / Pre-Conv Shares
Investor Equity Shares = Conversion Value / Conversion Price
Total Post-Conv Shares = 1,00,000 + (Total Growth Rate CCPS Conversion Value / Conversion Price)
Share Value = Investor Shares × Conversion Price = Guaranteed Conversion Value
Note: Each CCPS variant converts independently. Growth Rate formula applies only to Growth Rate CCPS.
Company Details
- Legal Name: OX Agry Private Limited
- CIN: U01100TN2022PTC149276
- Address: 105, South Anna Nagar, Dindigul Road, Palani - 624601, Tamil Nadu, India
Contact Information
- Email: investments@oxagry.com
- Website: www.oxagry.com
Document Version: 2.0.0 Issue Date: December 2025 Last Updated: December 2025
© 2025 OX Agry Private Limited. All rights reserved.