Compute · Transform · Analysis & Finance

Compute required ownership and present value from a target exit

A function that, from a projected exit value, holding period, and target return, computes the required present ownership fraction and the implied present value of the position.

You receive: A pure function exitDiscountValuation(input) -> { requiredOwnershipPct, presentValueOfStake, exitValueOfStake, grossMultiple, impliedIRR } graded on hidden cases.

Part of Pitch Investors

What's verified: STUD verifies the discounting, required-ownership, multiple, and IRR math on hidden inputs. STUD does NOT validate the exit projection, the comparables, or whether the target return is achievable.

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Cost20 credits

AcceptanceAutomated check against your inputs

ProtectionHeld until verified delivery

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Deliverable interface

The exact vocabulary the automated check enforces: keys, tokens, entry points, and worked examples. Generated from the verification source.

{
 "constants": {},
 "entryName": "exitDiscountValuation",
 "expectNote": "expect is the comparison-space value (your return value goes through normalize first when one is published)",
 "hiddenCaseCount": 12,
 "hiddenCaseNames": [
  "gen0",
  "gen1",
  "gen2",
  "gen3",
  "gen4",
  "gen5",
  "gen6",
  "gen7",
  "gen8",
  "gen9",
  "gen10",
  "gen11"
 ],
 "inputKeys": [
  "dilutionFactor",
  "holdingYears",
  "investmentAmount",
  "ownershipToday",
  "projectedExitValue",
  "targetGrossIRR"
 ],
 "normalizeSource": "def _normalize_exit_discounted_valuation(r):\n    if not isinstance(r, dict): return r\n    def n(x, p): return None if x is None else round(float(x), p)\n    return {\"requiredExitValueOfStake\": n(r.get(\"requiredExitValueOfStake\"), 2), \"requiredOwnershipPctAtExit\": n(r.get(\"requiredOwnershipPctAtExit\"), 6),\n            \"requiredOwnershipPctToday\": n(r.get(\"requiredOwnershipPctToday\"), 6), \"presentValueOfStake\": n(r.get(\"presentValueOfStake\"), 2),\n            \"exitValueOfStake\": n(r.get(\"exitValueOfStake\"), 2), \"grossMultiple\": n(r.get(\"grossMultiple\"), 6),\n            \"impliedIRR\": n(r.get(\"impliedIRR\"), 6)}\n",
 "returnShapes": [
  [
   "exitValueOfStake",
   "grossMultiple",
   "impliedIRR",
   "presentValueOfStake",
   "requiredExitValueOfStake",
   "requiredOwnershipPctAtExit",
   "requiredOwnershipPctToday"
  ]
 ],
 "signature": "def exitDiscountValuation(inp):",
 "submission": "python exposing the entry function; inp is one input object; graded on held-out cases",
 "tier": "calculator",
 "visibleCases": [
  {
   "expect": {
    "exitValueOfStake": 31500000,
    "grossMultiple": 6.3,
    "impliedIRR": 0.584292,
    "presentValueOfStake": 5000000,
    "requiredExitValueOfStake": 25312500,
    "requiredOwnershipPctAtExit": 0.16875,
    "requiredOwnershipPctToday": 0.200893
   },
   "input": {
    "dilutionFactor": 0.84,
    "holdingYears": 4,
    "investmentAmount": 5000000,
    "ownershipToday": 0.25,
    "projectedExitValue": 150000000,
    "targetGrossIRR": 0.5
   },
   "name": "book_example"
  },
  {
   "expect": {
    "exitValueOfStake": 30000000,
    "grossMultiple": 3,
    "impliedIRR": 0.245731,
    "presentValueOfStake": 10000000,
    "requiredExitValueOfStake": 44840334.38,
    "requiredOwnershipPctAtExit": 0.448403,
    "requiredOwnershipPctToday": 0.448403
   },
   "input": {
    "dilutionFactor": 1,
    "holdingYears": 5,
    "investmentAmount": 10000000,
    "ownershipToday": 0.3,
    "projectedExitValue": 100000000,
    "targetGrossIRR": 0.35
   },
   "name": "high_irr"
  },
  {
   "expect": {
    "exitValueOfStake": 9000000,
    "grossMultiple": 4.5,
    "impliedIRR": 0.650964,
    "presentValueOfStake": 2000000,
    "requiredExitValueOfStake": 5488000,
    "requiredOwnershipPctAtExit": 0.10976,
    "requiredOwnershipPctToday": 0.121956
   },
   "input": {
    "dilutionFactor": 0.9,
    "holdingYears": 3,
    "investmentAmount": 2000000,
    "ownershipToday": 0.2,
    "projectedExitValue": 50000000,
    "targetGrossIRR": 0.4
   },
   "name": "short_hold"
  },
  {
   "expect": {
    "exitValueOfStake": 25312500,
    "grossMultiple": 5.0625,
    "impliedIRR": 0.5,
    "presentValueOfStake": 5000000,
    "requiredExitValueOfStake": 25312500,
    "requiredOwnershipPctAtExit": 0.16875,
    "requiredOwnershipPctToday": 0.16875
   },
   "input": {
    "dilutionFactor": 1,
    "holdingYears": 4,
    "investmentAmount": 5000000,
    "ownershipToday": 0.16875,
    "projectedExitValue": 150000000,
    "targetGrossIRR": 0.5
   },
   "name": "full_survival"
  }
 ],
 "vocabulary": [
  "dilutionFactor",
  "exitValueOfStake",
  "grossMultiple",
  "holdingYears",
  "impliedIRR",
  "investmentAmount",
  "ownershipToday",
  "presentValueOfStake",
  "projectedExitValue",
  "requiredExitValueOfStake",
  "requiredOwnershipPctAtExit",
  "requiredOwnershipPctToday",
  "targetGrossIRR"
 ]
}

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