YORK, Sept. 22, 2022 /PRNewswire/
-- Parallaxes Capital Management ("Parallaxes") is an
alternative asset manager and, since 2017, has raised four funds
dedicated to Tax Receivable Agreements ("TRAs"). As the market
leader in monetizing TRAs, Parallaxes is dedicated to increasing
the visibility and transparency of TRAs which remain an often
overlooked and misunderstood asset class. In the vein of creating
greater visibility into the TRA ecosystem, Parallaxes is pleased to
highlight a notable development in the market as DreamWorks
Animation, Inc. ("DreamWorks") previously terminated its TRA.
Comcast Corporation ("Comcast") disclosed that after having
acquired DreamWorks, it settled the DreamWorks TRA with an
aggregate cash payment of $146
million. The DreamWorks TRA was entered into with an
affiliate of Paul Allen (the "TRA
Entity") as DreamWorks benefited from increases to the tax basis of
its assets as a result of transactions with affiliates of the TRA
Entity. The DreamWorks TRA had provided for the payment of 85% of
the cash tax savings realized from such tax basis increases,
subject to repayment if such savings were not available to
Parallaxes views TRAs, including the DreamWorks TRA, as a
valuable tool to reduce certain moral hazard problems and
informational asymmetry inherent in a company's public offering.
TRAs help ensure that pre-IPO owners are economically aligned with
new public shareholders and incentivize pre-IPO owners to pursue an
IPO structure that provides the company with ongoing tax benefits.
Parallaxes anticipates enhanced awareness and understanding of TRAs
will drive increased market adoption.
About Parallaxes Capital
Parallaxes Capital Management ("Parallaxes") is the premier
investment firm focused exclusively on monetizing Tax Receivable
Agreements ("TRAs"). Parallaxes offers private equity sponsors,
co-investors and management team members solutions to achieve
liquidity, diversification and optionality from their TRAs.
Parallaxes was founded in 2017 and is comprised of experienced
investment professionals from leading private equity and growth
equity firms. To learn more, please visit www.plxcap.com
This press release should not be regarded as representative of
an official position or statement of Parallaxes or any related
SOURCE Parallaxes Capital