May 10, 2018
Another Facebook shareholder has called for an overhaul of the way the company is run, saying its current share structure operates like a “dictatorship.”
Writing in the Financial Times on Thursday, a portfolio manager at the California State Teachers’ Retirement System (CalSTRS) said it is “time to end” Facebook’s dual-class shareholding.
Facebook’s Class A shares trade under the FB ticker on public markets and come with one vote for each share. Class B shares are available only to insiders and have 10 votes for each share.
Facebook CEO Mark Zuckerberg owns lots of class B stock, enough to afford him 60% of the voting power. He is also Facebook’s chairman. In other words, if he wants something to happen at Facebook, it happens.
This article was posted: Thursday, May 10, 2018 at 7:39 am