Definition
Compulsorily Convertible Cumulative Preference Shares – A pre-IPO funding instrument common among Indian startups: preference shares that pay a cumulative dividend (if declared) and must convert into ordinary equity shares at a set ratio, usually triggered by an IPO or a specific date, rather than being redeemable for cash. Under Ind AS, these are often classified as a financial liability (not equity) until conversion, so a large CCCPS balance can make a pre-IPO company's balance sheet look far more leveraged than it will once the shares convert to equity around listing. Found In: Balance Sheet, Notes to Financial Statements (share capital)