definiens: ) . ( b ) For purposes of this Section 2.1, the term shall mean that number of shares of Common Stock such that, followi ng the closing of the IPO Concurrent Closing, Purch aser will continue hold an aggregate amount of the Compa ny ’s outstanding Common Stock on a percentage basis equal to the lesser of ( i ) seven percent ( 7 % ) and ( ii ) Purchaser ’s percentage equity ownership of the Company ( calculated in each case on a fully diluted basis ) immediately prior to the consummation of the IPO ; provided that in the event that the IPO Participation Amount would exceed the lesser of ( x ) twenty percent ( 20 % ) of the aggregate proceeds proposed to be raised by the Com pany in the IPO and the IPO Concurrent Closing, div ided by the IPO Price or ( y ) $ 20,000,000 divided by the IPO Price, then such IPO Participation Amount shall be reduced to the lesser of ( x ) and ( y )