Perpetual Warrant

A Perpetual Warrant is a warrant that does not have a stated expiration date (or has an extremely long-dated term), allowing the holder to exercise into equity indefinitely, subject to the warrant’s conditions. In venture debt and structured financings, a Perpetual Warrant can be highly dilutive over time, and Perpetual Warrant terms are often negotiated to include call rights, cashless exercise mechanics, or other limits.