There was also an asymmetry in the negotiating position. The agreement was drafted when the share price was low. Then after almost a year or due diligence the deal goes through. By this point BIG is growing super fast and is starting to grow very fast in the USA. Tipsly would have known (given due diligence went well) that BIG needed the app.
If I was Tipsly and BIG turned around and said oh we only want to give you x number of shares even though we did discuss y number of shares 10 months ago because they're worth more now. I would have said well tbh you like the app, you are moving fast into the USA, if this deal falls through you're going to have to go back to the drawing board and lose momentum, so how about we just keep the original deal.
A better negotiator would have worked in a ceiling price back when it was original negotiated but throw in a pinch of greenness in mgmt and we could get to where we're at. I've been in negotiations before where terms have slipped in that weren't fully contemplate at the time. That's business my friends. Anyway, that's my view, people can reach their own conclusions.
