(Image credit: Getty Images)

Facebook (FB) shareholders recently scored a major victory in ultimately preventing CEO Mark Zuckerberg from further consolidating shareholder voter power and claiming it for himself.

Zuckerberg’s original plan was to introduce a newly minted Facebook share class that wouldn’t grant owners any voting rights. While voting shares still would be available in the publicly traded float, this strategy would effectively dilute those shares without diluting the special class of so-called “supervoting” shares Zuckerberg already owns. Thus, the founder would effectively be able to exercise greater control over the company – even if that wasn’t the stated goal.

To continue reading this article
please register for free

This is different from signing in to your print subscription


Why am I seeing this? Find out more here

James Brumley
Contributing Writer, Kiplinger.com
James Brumley is a former stock broker, registered investment adviser and Director of Research for an options-focused newsletter. He's now primarily a freelance writer, tapping more than a decade's worth of broad experience to help investors get more out of the market. With a background in technical analysis as well as fundamental analysis, James touts stock-picking strategies that combine the importance of company performance with the power of stock-trade timing. He believes this dual approach is the only way an investor has a shot at consistently beating the market. James' work has appeared at several websites including Street Authority, Motley Fool, Kapitall and Investopedia. When not writing as a journalist, James works on his book explaining his multi-pronged approach to investing.