Carta, best known for its cap table and equity management software, has sold its secondary brokerage accounts to stock-trading startup Public after facing backlash over allegations of misusing customer data. This controversy led to customers threatening to leave Carta, prompting it to exit the secondary business in January 2024. Despite the sale, Carta will continue offering company-led secondary offerings through its SEC-registered transfer agent.

Carta’s Ill-fated Secondaries Business Finally Found a Buyer