Compensation structure after Thoma Bravo acquisition
Those who went private with Thoma Bravo or any PE firm, what was comp like after the acquisition? Did your company give equity ? What were the bonuses like and what were the conditions for bonus and stock or stock options? Is it worth staying? #thomabravo #anaplan #medallia #sailpoint #vistaequitypartners #qlik #talend #elliemae #aptean #alation #planview #forgerock #realpage #userzoom #pingidentity #imply #imperva #centrify #privateequity #coupa
Get ready for the death spiral of constant layoffs if you don't meet EBITDA targets every quarter.
The comp is fine it’s more the threat of constant layoffs that’s stressful.
Imagine free flowing class B equity given as retention bonuses and rewards. Now imagine that you lay off 15% of your workforce for missed EBITA goals and then demand those class B shares back and the buyback price is $0 because they’re worthless. Welcome to private equity.
I wouldn’t have called it “free flowing” either - but the part here about TB having the right to buy back vested equity at the timing and price they choose from any departed employee is accurate (and in our case allowed TB to reclaim laid off employees vested shares for $0). Treat equity as worthless unless you’re confident you’ll be there through an exit.
Yeah this is why I am def not 'investing' in their co-invest plan! What a scam.
$0 bonus and $0 raise this past year. Not spending money on anything. No travel, no money for team celebrations, cutting costs and a few layoffs. I imagine this is due to not only being taken over by TB, but also the current climate and it being an employer's market. Thankfully the work itself is interesting.
The most depressing part is that they are just trying to extract as much money out of it operationally - cut costs constantly, lay-off, don’t pay out bonus ever, stock worthless… the upside isn’t there and the atmosphere is grim. Operational ceo who is just managing the sinking ship while cutting quarter after quarter. You will generally do better elsewhere.. and have more fun
Interested to hear other experiences about post acquisition stock, particularly “buy backs” for departing or terminated employees.
Folks at Coupa - hope you’re following the message from what’s going on at Anaplan. Thoma Bravo is a shit hole and it ensures all the companies it acquires get to that point, escape it as soon as you can
What happened to the sales people ? Did they right size quotas ???
Employees over specific level (roughly senior manager+) were given equity. There’s also an opportunity to “buy” equity for all employees. Bonuses stayed the same but are now tied to Thoma Bravos preferred metrics. Payouts seemed fair for the first half of year.
How many months after acquisition did this happen?
~2 months