Startup unicorn Carta is abandoning its software for public companies

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Exclusive: $7 billion tech unicorn Carta bet big on managing employee equity for public companies. Now it's telling them to get off its platform.

Carta, which has been serving private startups, set its sights on conquering public markets. It's a major reversal for CEO Henry Ward who once said he wants to put the New York Stock Exchange out of business.

Now, all of sudden, the person on the other end of the phone was telling Prideaux he needed to look elsewhere. Ultimately neither investment panned out. In July, 2021 Carta quietly sold off PST to a group led by its founder Robert Winterle, according to two people familiar with the deal. Harrigan left Carta in 2019, less than two years after he was hired, and went on to work for a competing transfer agent called Securitize, which itself acquired PST in June, 2022.

Ultimately, the person said, the company opted not to use Carta's platform to manage its public shares. Doordash, another high-profile customer of Carta's, switched to Charles Schwab for equity management when it went public in 2020, according to a company spokesperson.

 

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WOW - super interesting. was talking to a unicorn startup the other day that was concerned about their platform and if they could support public shareholders - i guess NYSE and Nasdaq are safe from Carta? YahooFinance FT ycombinator YahooFinance

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