Pulley Migration Not an Exit Consideration

The key implication is that Pulley’s Carta deal is a customer handoff, not a price setting event for Pulley equity. The arrangement moves cap table records and customer contracts onto Carta, but it does not put new cash into Pulley and does not assign shareholders a sale price. The clearest signs are the shutdown notice, the requirement that migrating customers sign a new 12 month Carta agreement, and the lack of any announced purchase price or acquisition closing.1 2 3 4

• A financing valuation comes from investors buying newly issued shares. An exit consideration comes from a buyer paying for the company or its stock. Here, neither is present. Pulley’s profile shows no new funding milestone and no acquisition record, while the public shutdown materials frame the move as a transition partnership.1 3 4
• The economic unit being transferred is the customer relationship, not the corporate entity. Carta says customers must opt in, sign a new agreement, and then migrate their data. Pulley says Carta will honor existing pricing for the first year and credit unused prepaid time, which is how a migration incentive works, not how merger proceeds work.2 4
• This fits the structure of the cap table software market. Carta is the scaled incumbent, with about $515M of estimated revenue versus Pulley at about $20M before the shutdown. That gap helps explain why the outcome is consolidation through customer migration instead of a new standalone valuation reset for Pulley.1 5

Going forward, the important numbers will be customer retention into Carta and the pace at which the cap table market concentrates around a few surviving platforms. For Pulley shareholders, the migration itself does not establish a fresh mark on common or preferred stock. It mainly marks the end of Pulley as an operating company and the absorption of its users into a larger network.1 2 4 5