For those interested in considering this non-conventional corporate structure for business or investment purposes, Morrison & Foerster's "Capital Markets Embrace a Novel Corporate Form" provides an overview of the three publicly traded public benefit corporations (PBC) - Laureate Education, Inc., Lemonade Inc., and Vital Farms, Inc. - and their differences and similarities. The memo's discussion about commonalities notwithstanding significant differences among the three companies provides insights into the potential upsides and downsides of pursuing a PBC structure.
Relatedly, see this release: "Veeva Forms Board Committee to Explore Becoming a Public Benefit Corporation," indicating that Veeva Systems ((NYSE: VEEV) is seeking input from stakeholders on its exploratory plans to transition to a PBC. Governance changes would include declassifying its board of directors, implementing a majority vote standard for future director elections, and sunsetting its dual-class stock structure in 2023.
See also our recent reports: "Benefit Corporations Explained & Timely Revisited," "Fiduciary Duty Basics," "Corporate Purpose: Director Duties"; and additional resources on our Director Duties & Liabilities page. This post first appeared in the weekly Society Alert!