Google Inc (NASDAQ:GOOG)’s recent stock settlement will perpetuate the co-founders’ control and won’t help much for shareholders’ causes. Steven M. Davidoff of Dealbook terms the settlement an “odd-one” and stretches the laws of corporate finance. Genesis Of The Case While going public in 2004, Google Inc (NASDAQ:GOOG) had a dual-class structure. Google’s co-founders Mr. Brin and Mr. Page were issued Class B shares with 10 votes apiece, while public shareholders received Class A shares with only one vote. The idea of dual-class structure was to ensure that co-founders continue to keep control over the company despite not owning a majority holding…
Google’s Stock Settlement To Perpetuate Co-Founders’ Control
Mani
Mani is a Senior Financial Consultant. He has worked in Senior Management role in large banking, financial and information technology organizations. He has provided solutions for major banking and securities firms across the globe in the area of retail, corporate and investment banking. He holds MBA (Finance) and Professional Management Accounting Qualifications. His hobbies are tracking global financial developments and watching sports