Drag-Along Rights - Term Sheet

The video tutorial explains drag-along rights, which allow majority shareholders to compel minority shareholders to agree to a transaction, such as a company sale, if certain conditions are met. These conditions include a minimum threshold of shareholder approval and a minimum valuation. The rights aim to prevent minority shareholders from blocking beneficial transactions. They typically expire if the company goes public.

What conditions must be met regarding the valuation of a company for drag along rights to be enforced?

Under what circumstances do drag along rights expire?