Private Unicorns Need Disclosure Boost, SEC’s Lizarraga Says

Unicorns should publicly disclose more about their businesses under SEC rules that have allowed big private companies to report little, if any, information, Democratic SEC Commissioner Jaime Lizarraga said Wednesday.

Unicorns, young private companies valued at $1 billion or more, should report their sizes, lines of business and other details that public companies must disclose, Lizarraga said. The Securities and Exchange Commission needs to update its private company regulations to account for unicorns that have the resources and abilities to make disclosures like big public companies make to investors, he said.

“These are companies that don’t really bear any resemblance ...