Search results for "dual-class"

Controlled Companies Carry Negatives

…companies increasingly feel the need for dual class structures. Further discussion revealed that most (not sure about Facebook) are being structured so the dual class expires with the death of the founder. At least that’s better than carrying the lega…

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Kara Stein on Mutualism

Mutualism: Kara M. Stein

…vestors, available at http://www.cii.org/dualclass_stock ; Madison Marriage, “State Street asks SEC to block non-voting shares,” Financial Times (Jun. 18, 2017), available at https://www.ft.com/content/9595e5c4-51db-11e7-bfb8-997009366969 ; Chris Diet…

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Mutli-Class Share: Say ‘no’ to dual class shares - Mak Yuen Teen and Chris Bennett http://governanceforstakeholders.com/2015/11/28/say-no-to-dual-class-shares/

Multi-Class Share Ban: Speculation

…ic companies that are controlled using a dual-class structure, but also may impact newly public companies with “Up-C” structures, even when there is no differential voting, because public holders have a class of stock with economic and voting rights,…

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listing standards valuation-dual-class-firms

Listing Standards Requested by CII

…ecent academic research shows that while dual-class companies on average have a valuation premium at the time of IPO, that advantage dissipates between six and nine years after IPO and then disappears. “We believe seven years is sufficient time for a…

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CalPERS May Boycott Dual-Class IPOs

…ugh the courts. Increasing prevalence of dual class voting structures. The program reported they are currently developing an IPO governance strategic plan using the following tactics: Develop an IPO governance expectations document, explaining the gov…

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Costco: Proxy Advisor Contest Proposed

…e on a corporate board unless there is a dual class structure that essentially negates input by most shareowners. (see SVNACD: Red Flags of an Ethical Collapse & Alternative Proxy Voting Advice to Stem Dual Class IPOs). My biggest takeaway from that m…

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Notable CorpGov Bites

…nnually between 2006 and 2012…. continue Dual Class Share Structures: The Next Campaign Posted by Francis H. Byrd, Laurel Hill Advisory Group, on Sunday September 16, 2012, HLS Program on Corporate Governance The arguments over the merits of dual clas…

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July 2004

…lts of a study that compared hundreds of dual-class companies with the larger universe of single-class companies from 1994 through 2001. “What you’d really like to do is give managers a lot of economic ownership in a company, but no votes, which is th…

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Commonsense Principles of Corporate Governance. JPMorgan Chase CEO Jamie Dimon and a group of influential leaders in business and finance have joined to develop a set of "commonsense" principles that institutional investors and governance advisers are mostly applauding. (Photo by Mark Wilson/Getty Images and used by Wahington Post)

Commonsense Principles: Ground Floor

…mpanies (e.g., less than $2 billion). b. Dual class voting is not a best practice. If a company has dual class voting, which sometimes is intended to protect the company from short-term behavior, the company should consider having specific sunset prov…

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Book Review: Owning Our Future

…ey will no longer serve on boards unless dual-class stock ownership structures insulate management from the irrational demands of proxy advisors and shareowners. (see SVNACD: Red Flags of an Ethical Collapse & Alternative Proxy Voting Advice to Stem D…

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Why Grow Up? between what is and what ought to be

What Ought to Be: Why Grow Up?

…through mechanisms such as preferred or dual class shares entitled to vote on specified board seats. At some companies, such as Twitter and Amazon.com, it may also be worth exploring hybrid forms that provide representation to at least some customers…

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ICGN Day 2: CorpGov.net Coverage

…rs put pressure on controlled companies? Dual class shouldn’t be banned but should cease with trigger events. Majority board independence. Cumulative voting for directors. Minority should have board representation. Stand up to board. If not enough liq…

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Governance Fundamentals

Governance Fundamentals: Tech

…rve bylaw formulations only in 3% of non-dual class surveyed companies, even though advisable. 79% of non-dual class surveyed companies require disclosure of derivative positions for nomination of director candidates. Proxy statements were often inacc…

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FB

FB Facebook Proxy Vote Recommendations

…to allow one vote per share. The current dual class structure allows certain stock to have more voting power than others. Our Company took money from public shareholders but does not let us have an equal proportionate voice in the company’s management…

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Inside the Black Box

…structures in Scandinavia. He finds that dual-class shares drive a wedge between cash-flow rights and control rights. “Firms with only on equity class are, on average, investing efficiently, whereas firms with dual-class equity structure are over-inve…

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Shareholders v Stakeholders

Shareholders v Stakeholders

…through mechanisms such as preferred or dual class shares entitled to vote on specified board seats. North Dakota has a Legacy Fund, which potentially gives it a voice in corporate governance. Other states and communities should explore investment op…

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