Convertible Preferred Stock and Stockholders’ Equity (Deficit)

Convertible Preferred Stock

Immediately prior to the completion of the IPO, all shares of convertible preferred stock then outstanding were automatically converted into 18,163,158 shares of common stock on a one-for-one basis, and then reclassified as shares of Class B common stock.

Summary of Activity

The following tables present a summary of activity for our convertible preferred stock issued and outstanding for the nine months ended September 30, 2017 (dollar amounts in thousands):



	Series A Convertible Preferred Stock					Series B Convertible Preferred Stock
	Amount			Shares		Amount			Shares
Balance as of January 1, 2017	$	17,915		12,043,108		$	37,500		6,120,050
Accretion of dividends on convertible preferred stock	357			—		—			—
Payment of accrued dividend to Series A convertible preferred stockholders	(7,565		)	—		—			—
Conversion of convertible preferred stock to common stock	(10,707		)	(12,043,108	)	(37,500		)	(6,120,050	)
Balance as of September 30, 2017	$	—		—		$	—		—

Common Stock

Immediately prior to the completion of the IPO, all shares of common stock then outstanding were converted into Class B common stock on a one-for-one basis. We offered and sold newly authorized shares of Class A common stock in the IPO.

The rights of the holders of Class A common stock and Class B common stock are identical, except with respect to voting and conversion rights. The holders of Class A common stock are entitled to one vote per share, and the holders of Class B common stock are entitled to ten votes per share, on all matters that are subject to stockholder vote. The holders of Class B common stock also have approval rights for certain corporate actions. Each share of Class B common stock may be converted into one share of Class A common stock at the option of its holder and will be automatically converted into one share of Class A common stock upon transfer thereof, subject to certain exceptions. In addition, upon the date on which the outstanding shares of Class B common stock represent less than 10% of the aggregate voting power of our capital stock, all outstanding shares of Class B common stock shall convert automatically into Class A common stock.