The down round situation was probably the result of anti-dilution protection, meaning it was baked into the previous rounds documents, not something that was re

The down round situation was probably the result of anti-dilution protection, meaning it was baked into the previous rounds documents, not something that was renegotiated. Anti-dilution protection basically says that if the company closes a Series B financing at a price lower than the price of the Series A, the Series A investors get an adjustment to their fully-diluted ownership (ie get additional ownership). In the worst case, the Series A shares are effectively repriced to the Series B price, but most often the adjustment is much less. These terms would be part of the Series A term sheet and deal documents, not something that is raised when the Series B occurs.