liquidity event

noun

A transaction that enables the owners of a company to realize the value of their investment, such as a merger, acquisition, or initial public offering.

Meanings

nounliquidity event (plural liquidity events)

plural liquidity events

  1. businessA transaction that enables the owners of a company to realize the value of their investment, such as a merger, acquisition, or initial public offering.

    A liquidity event is something that converts an investor's equity in your company into cash. The most common liquidity event is an acquisition, where a company is acquired by another company or private equity firm.

    2016, Katherine Hague, Funded: The Entrepreneur's Guide to Raising Your First Round, O'Reilly, →ISBN
Cite this entry
APA

liquidity event. (n.d.). In WatkinsX Dictionary. Retrieved November 5, 2026, from https://dictionary.watkinsx.com/word/liquidity%20event

MLA

“liquidity event.” WatkinsX Dictionary, https://dictionary.watkinsx.com/word/liquidity%20event. Accessed November 5, 2026.

Chicago

WatkinsX Dictionary, s.v. “liquidity event,” accessed November 5, 2026, https://dictionary.watkinsx.com/word/liquidity%20event.

Source: liquidity event on Wiktionary, CC BY-SA 4.0.