Many consider Wednesday's Nielsen IPO to be a referendum on their business.
Because there's a much bigger story at work, and if you listen carefully, it could make you a lot of money.
My colleague Kate Kelly was first to break the news that the ratings company would look to go public in January. Last night, she broke the news that Nielsen would price above its initial range.
And while much of Wednesday's debate centers on whether you should buy Nielsen stock, a better question to ask yourself is whether you should you buy the companies that are bringing Nielsen public.
Nielsen was one of the vintage LBO (leverage buyout) transactions from just before the credit crisis.
If its sponsors, which include publicly traded PE firms KKR and Blackstone , can successfully place the deal, it would set the tone and tenor for other sponsors to exit some of their holdings too, including HCA and Toys "R" Us.
Put simply, a healthy Nielsen IPO would show investors that there is an exit strategy for private equity firms, a point Morgan Stanley's Shelly Bergman has made on the show several times.
And as Dan Cummings, Bank of America Merrill Lynch's global head of capital markets told us Tuesday, sponsors should continue play a big role in the IPO market this year.
In short, that should boost the bottom line for private equity firms, and it certainly explains why so many are tuned into Nielsen's IPO.
Follow Gary on Twitter: @CNBCStrategy
Watch Gary Kaminsky weekdays at Noon ET on CNBC's "The Strategy Session."
Gary Kaminsky does not hold any equity positions.
The content of this blog is published in the United States of America and persons who access it agree to do so in accordance with applicable U.S. law.
All opinions expressed in this blog are solely the opinions of Gary Kaminsky and do not reflect the opinions of CNBC, NBC UNIVERSAL or their parent company or affiliates, and may have been previously disseminated on television, radio, internet or another medium. You should not treat any opinion expressed by Mr. Kaminsky as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of his opinion. Mr. Kaminsky’s opinions are based upon information he considers reliable, but neither CNBC nor its affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. Mr. Kaminsky, CNBC, its affiliates and/or subsidiaries are not under any obligation to update or correct any information provided on this website. Mr. Kaminsky’s statements and opinions are subject to change without notice. No part of Mr. Kaminsky’s compensation from CNBC is related to the specific opinions he expresses.
Past performance is not indicative of future results. Neither Mr. Kaminsky nor CNBC guarantees any specific outcome or profit. You should be aware of the real risk of loss in following any strategy or investment discussed on this website or on the show. Strategies or investments discussed may fluctuate in price or value. Investors may get back less than invested. Investments or strategies mentioned on this website or on the show may not be suitable for you. This material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendations appropriate for you. You must make an independent decision regarding investments or strategies mentioned on this website or on the show. Before acting on information on this website or on the show, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.