Filed by: Sterling Check Corp.
Pursuant to Rule 425 under the Securities Act of 1933
Subject Company: Sterling Check Corp.
Commission File No. 001-40829
Date: February 29, 2024
The
following FAQ was made available to employees of Sterling Check Corp. on February 29, 2024:
Q: Do I still have a job?
A: Yes, you are still an employee of Sterling and expected to deliver the same outstanding service and performance that our clients and candidates have
come to expect from all of us.
Q: Why did Sterlings Board and Management agree to combine with First Advantage?
A: The opportunity to bring two complementary background and identity services companies together offers multiple benefits for clients, shareholders, and
employees. For many years, and especially since First Advantage and Sterling went public in 2021, both of our companies have grown and introduced new, technology-enabled processes and products to meet the needs of clients and candidates worldwide.
Throughout it all, our two companies have gotten to know each other well and our management teams have built a lot of respect for one another.
We are
confident that partnering with First Advantage is the right strategic step to position us for our next chapter. By joining with First Advantage, we can fully realize our long-term strategy of becoming one of the worlds most trusted background
and identity services companies, differentiated by our deep market expertise, excellent client service, best-in-class data, and seamless workflows.
Q: How long will it be until the merger agreement closes?
A: Until the transaction closes, which is expected to occur in approximately the third quarter of 2024, it is business as usual at Sterling. We must remain
focused on achieving our goals for 2024 and delivering on our commitments to our clients, candidates, shareholders, and one another.
Q: Will updates
be provided to employees along the way?
A: Sterling employees should remain focused on business as usual. To the extent possible, we will use Josh
Messages, Global Town Halls, and posts on Sterlink to provide updates to employees related to key milestones in the process.
Q: What happens if
regulatory approval is denied?
A: We arent going to speculate on regulatory matters, but we believe there is a compelling strategic rationale
for bringing the two companies together. If for some reason the transaction with First Advantage does not close, Sterling will continue as a separate company.
Q: Will my benefits change, or do they remain the same?
A: You are a Sterling employee, and we are continuing to operate as Sterling for now. As such, your current Sterling benefits remain in effect. The
announcement today does not change the benefits you are currently enrolled in and offered by Sterling.
Q: Will my pay change because of the
announcement today?
A: There is no change in your pay because of todays announcement.
Q: Is Sterling still going to pay the Annual Incentive Plan (AIP) & Client Success bonuses for 2023?
A: Yes, AIP & Client Success bonuses for eligible employees will be paid in March 2024 per our standard process. Additional communication about the
annual bonus process will be shared through managers with their eligible team members beginning March 6, 2024.