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  "documentTitle": "Box, Inc. (BOX)",
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  "notes": "The chart uses a break in the x-axis to compare the initial share retirement against various dilution scenarios.",
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      "kind": "callout",
      "text": "Box would have to have annual returns of ~35% for the KKR Financing to be accretive",
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      "text": "Cumulative Stock Issued in Dividends over Five Years at Various Box Stock Price Returns Levels",
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      "text": "The Preferred Financing carries a 3% dividend rate, and Box announced its intention to pay the $15 million annual dividend in common stock.\nIn addition, the preferred equity investors have a put right after 7 years, which allows them to force Box to redeem the preferred equity, potentially creating a large repayment obligation in downside scenarios.\nEven if the Company achieved its desired results from the Preferred Financing and self-tender scheme, the Preferred Financing would have proven to be dilutive after 2-3 years in any reasonable scenario.",
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      "text": "Additional Dilution: 3.1mm",
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      "text": "Source: Company filings. Note: Future share price calculation is based on the midpoint of the tender range, which is $24.25.",
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      "text": "Box's analysis failed to incorporate the long-term effects of the Preferred Financing.",
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      "text": "The Preferred Financing and Related Self-Tender Scheme Was Flawed (Cont'd)",
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