Contrary to what The Hill and its Opinion Contributor Michael Toth Would Have You Believe, Companies are not Fleeing Delaware – ProfessorBainbridge.com

In total, there are almost 400,000 companies incorporated in Delaware. Although Delaware accounts for less than one-third of one percent of the United States’ population, it is the legal home for two-thirds of the Fortune 500 companies. As for the broader set of all public corporations, Delaware is home to more than half of the corporations listed for trading on U.S. stock exchanges. As for newly formed corporations, while most business entities form under the law of the state in which they have their primary place of business, Delaware is the leading choice of businesses that opt to incorporate outside their home state.

Guess how many publicly held Delaware corporations reincorporated outside of Delaware between 2012 and 2024. My research assistants and I have scoured SEC filings and various databases to get the answer. The answer? A whopping total of 65, with seven pending. That’s a total of 72 over 12 years. Six per year.That’s not flight. That’s rounding error.

Source: Contrary to what The Hill and its Opinion Contributor Michael Toth Would Have You Believe, Companies are not Fleeing Delaware – ProfessorBainbridge.com