Tag Along Right defined: Tag along right is a contractual obligation to protect the rights of a minority shareholder in illiquid deals. If the majority stakeholder decides to sell their stake, a minority stake holder is allowed to "tag-along" in the transaction and sell their stake as well. Also referred to as "co-sale rights."
Above is a definition for "Tag Along Right" from PrivCo's Private Company Knowledge Bank, the definitive online and e-book guide to private companies and private company deals.
Click here to download the entire PrivCo Knowledge Bank as a Free PDF
