When a company (Buyer) acquires only part of another company such as a division or a subsidiary, a transaction type typically referred to as a carve-out, the part of the company being carved out (Carve-out Entity) is often dependent on the parent company (Parent) for business services critical to its operations.
When a parent entity prepares for a carve-out transaction for the spin-off, sale, or initial public offering (IPO) of a business or division, or wishes to separate the company into multiple strategic business units to facilitate a reorganization, the success of the carve-out will be central to the success of the underlying transaction.
On July 26, 2023, the SEC adopted a new set of cybersecurity rules.
The SEC issued a final rule on October 26, 2022, Listing Standards for Recovery of Erroneously Awarded Compensation (commonly referred to as the “Clawback Rule”), to prevent executive officers from retaining excess compensation following an accounting restatement.
Focus on Cybersecurity’s Vital Role in ESG Frameworks As companies and investors increasingly embrace Environmental, Social and Governance (ESG) principles to evaluate and manage the sustainability and societal impact of their activities, it is essential to recognize the missing piece in many existing frameworks: cybersecurity.