Found 2 article(s) for author 'CEO'

Do Founders Control Start-Up Firms that Go Public?

Do Founders Control Start-Up Firms that Go Public? Jesse Fried, May 2018, Paper, “Startup founders, who generally must cede control to obtain VC financing, are widely believed to regain control in the event of an IPO, à la Facebook’s Mark Zuckerberg. Indeed, the premise that founders expect to be able to reacquire control if there is an IPO underlies the leading finance theory for why venture capital cannot thrive without a robust stock market. But little is known about how frequently founders regain control via IPO. Using a sample of over 18,000 VCbacked firms, we show that founders generally do not reacquire control via IPO. In almost 60% of firms that go public, the founder is no longer CEO at IPO.Link

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More and More CEOs Are Taking Their Social Responsibility Seriously.

More and More CEOs Are Taking Their Social Responsibility Seriously. Rebecca Henderson, February 12, 2018, Opinion, “Jana Partners, the activist hedge fund, isn’t known as a tree-hugging hippie sort of firm. Yet, last month it joined with the California State Teachers’ Retirement System to send a letter to Apple’s board warning about the effects of the company’s devices on children. The same month, Blackrock CEO Larry Fink sent a letter telling companies that his firm would consider social responsibility when making investments. And Mark Zuckerberg told investors that Facebook would be making changes to its platform that would help users in the long-term, even though, he warned, in the short-term the result would be users spending less time on it.Link

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