Sir David Walker will today reveal details of a review on transparency and
corporate governance among the UK’s larger private equity-backed companies.
The review, the PE industry’s first response to scathing criticism from
politicians and union leaders, is expected to float the idea of buyout firms
appointing external, non-executive directors to the boards of some companies
bought by private equity, reports the
Sir David is expected to propose a code of conduct that would only apply to
buy-out firms that have acquired companies above a certain size, equivalent to
the FTSE 250 index, to be measured by the value of the acquired company and the
size of its workforce.
Proposals will include a recommendation for more disclosure about the
performance of buy-out funds. Sir David will urge regular communication with
staff at portfolio companies, and much greater disclosure on the debt structures
of portfolio companies, including repayment schedules and covenants for loans.
The Financial Reporting Council has issued guidance regarding the annual reporting of 1,200 large and smaller listed companies. The letter highlighted the key issues and improvements that can be made in the 2016 reporting season
Baldwins Accountancy Group has continued investment in the north-east and appointed David Fish as a director in its corporate finance team
UK M&A activity bounced back strongly in July and August, according to analysis by the deals practice at PwC.
Smith & Williamson has added Jim Clark and Philip Marsden, of Marsden Clark Corporate Finance Limited, to its corporate finance team.