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NAIC Market Update: Pay Programs: What to Be Aware of Before Taking a Portfolio Company Public

NAIC Market Update: Pay Programs: What to Be Aware of Before Taking a Portfolio Company Public

With unusually high valuations comes a greater number of sponsors taking companies public. While these exits are often lucrative for investors, they also lead to significant changes for a portfolio company’s pay programs and corporate governance. It also marks the first time a company’s compensation programs, practices, and decisions are made public through SEC filings. In this NAIC Market Update video, David Wise, Senior Client Partner at Korn Ferry, reveals the three most common issues in the IPO process that sponsors should know. Wise, who leads Korn Ferry’s Private Equity business for North America, also stressed the significance of having the proper design, inclusiveness and economics of a company’s pay program with the transparency that comes with going public.