liquidity event

British

noun

the ending of an investor's involvement in a business venture with a view to realizing a gain or loss from the investment

"Collins English Dictionary — Complete & Unabridged" 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012

Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

“Most of the late-stage private companies that you can think of have done some sort of liquidity event for employees,” says Zuhayeer Musa, co-founder of Levels.fyi.

From The Wall Street Journal • Mar. 30, 2026

“Every major long-only trader will use that liquidity event to reshuffle their portfolios,” Azarm said.

From MarketWatch • Dec. 14, 2025

The company previously set a "liquidity event", such as an IPO or company sale, as a condition for the vesting to occur, the sources added.

From Reuters • Jul. 11, 2023

When those companies have some sort of exit or liquidity event, meaning they sell to another company, IPO, or we decide they’ve grown enough that we’re going to cash out.

From The Verge • Feb. 1, 2021

“And the question is, do we have enough time before a true liquidity event destabilizes the market?”

From New York Times • Oct. 16, 2014

Definitions and idiom definitions from Dictionary.com Unabridged, based on the Random House Unabridged Dictionary, © Random House, Inc. 2023