New Facebook shares class to keep Zuckerberg in control

Facebook shareholders have approved the creation of a new non-voting share class that will allow Mark Zuckerberg to give away his wealth without losing control of the company

New Facebook shares class to keep Zuckerberg in control
Facebook shareholders have approved a proposal that would allow CEO Mark Zuckerberg to give away his wealth without ceding control of the company, according to the Financial Post.

Shareholders approved a plan to create a new class of non-voting shares. The company will issue two of these “Class C” shares for each Class A and Class B share held by shareholders, the Financial Post reported. That will effectively create a 3-for-1 stock split.

Zuckerberg said in December that he intended to put 99% of his shares into a new philanthropy project, the Financial Post reported. The new Class C shares will allow him to sell the non-voting stock, while retaining the Class A and B shares and keep control of the company.

Zuckerberg told shareholders that he plans on running the social media giant “for a very long time,” the Financial Post reported.


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