Dual-Class Ownership

Dictionary Says

Definition of 'Dual-Class Ownership'

A type of share division in which companies issue shares that have differing rights. In a dual class ownership structure, the company can issue two classes of shares, Class A and Class B. These classes may have different voting rights, but they represent the same underlying ownership in the company.  
Investopedia Says

Investopedia explains 'Dual-Class Ownership'

Often companies that are transitioning from being private to becoming a public companies may use a dual-class structure to maintain control over the company. For example, when Google went public, it issued Class B shares that had no voting rights to ensure that the founders and executives still had control of the company.

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'Dual-Class Ownership'

  • The Two Sides Of Dual-Class Shares

    http://www.investopedia.com/articles/fundamental/04/092204.asp
    ... listed shares. So, the question is, what's the impact of dual-class ownership
    on a company's fundamentals and performance? (To learn ...
  • Keeping An Eye On The Activities Of Insiders And Institutions

    http://www.investopedia.com/articles/stocks/05/042605.asp
    ... On the other hand, you can have too much insider ownership. ... Critics of the dual-class
    share structure contend that, should managers yield less than ...
  • Dillard's Back From The Dead

    http://stocks.investopedia.com/stock-analysis/2010/Dillards-Back-From-The-Dead-DDS-JCP-SKS-JWN-M-GPS0517.aspx
    ... The family controls Dillard's Department Stores (NYSE:DDS) through their ownership
    of the ... but it brought to light the nasty side of dual class structures and ...
  • Dillard's Shareholder Battle Turns Nasty

    http://stocks.investopedia.com/stock-analysis/2008/Dillards-Shareholder-Battle-Turns-Nasty-DDS1031.aspx
    ... When the company went public, a dual class structure was set up that makes it ... family
    owns virtually all of the Class B shares through its ownership of the WD ...
  • Why would a company have multiple share classes, and what are ...

    http://www.investopedia.com/ask/answers/05/070405.asp
    ... share classes typically have the same rights to profits and company ownership. ... Normally,
    the existence of dual class shares would only be a problem if an ...
  • Governance Pays

    http://www.investopedia.com/articles/fundamental/03/070903.asp
    ... non-executive directors, placing constraints on management power and ownership
    concentration, as ... Shareholder Rights - Be wary of companies with dual-class stock ...

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