QSBS Spotlight: Kate Therapeutics acquired by Novartis
A weekly series where we cover recent acquisitions, capital raises, and pending IPOs that may be Qualified Small Business Stock (QSBS) tax exemption eligible, granting investors and planners insight into real world planning opportunities using QSBS rollovers.
Kate Therapeutics announced the close of their deal to be acquired by Novartis on November 21, 2024. With a 60-day QSBS rollover clock closing around January 20, 2025, investors and shareholders who got liquid from the acquisition may have the ability to extend, preserve, or multiply their tax exclusion eligibility through a QSBS rollover. For more information on QSBS rollovers and how they can help to bridge the 5-year hold period gap, or multiply the exclusion limit, read more below or contact our team at QSBS@vint.co, or take our eligibility quiz, here.
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You could benefit from a QSBS rollover if:
You recently sold QSBS before the 5 year minimum hold period
You recently sold QSBS that you held for 5 years, but your gain exceeds $10M
You’re considering an exit in the next 1-4 years and want to think ahead about tax planning
Are an angel investor seeking flexible QSBS opportunities to help defer gains
The Vint Retail Partnership Program can be a solution for QSBS gain holders in need of a flexible, low-risk, and relatively liquid QSBS opportunity. Get in touch with our team today to learn how to partner with us and potentially save millions in gains tax from a stock sale.
Here are some of the questions we typically ask when having a first meeting with potential partners:
Did you recently sell or are you holding Qualified Small Business Stock?
When did you sell your stock?
Was this your first liquidity event?
Are you a founder, early employee, outside investor/angel, etc?
Are you certain that your stock met the Active Trade/Business and other requirements under Section 1202? (Outside of holding period requirements)
What is your intended rollover amount?
How long did you hold your initial stock?
(Read more about QSBS planning and see some example situations)
