It’s dilution at the same time as money is literally injected into the company. Say a company valued at $100M issues 10% more shares at the same time as it rece

It’s dilution at the same time as money is literally injected into the company. Say a company valued at $100M issues 10% more shares at the same time as it receives a $10M investment (10% of its value), thus becoming a $110M company. In theory, the existing shares lose no value in the process: $110M * (100%/110%) = $100M Of course, there are always disagreements about valuation and strategy.