Goto

Collaborating Authors

Facebook's Zuckerberg likely to stand by Thiel at annual meeting

USATODAY - Tech Top Stories

SAN FRANCISCO -- Facebook's annual shareholder meeting Monday will likely be much ado about nothing -- even though one of its board members, Peter Thiel, generated a barrage of headlines over his secret funding of a lawsuit that may bankrupt Gawker. That's because the board of Facebook, like Google, has engineered a structure that puts founder and CEO Mark Zuckerberg in control of its destiny. And the second-most influential person at Facebook has already made it clear that Thiel will remain on the board. "Peter did what he did on his own (against Gawker Media), not as a Facebook board member," Facebook's chief operating officer and director Sheryl Sandberg said at the Code Conference earlier this month. "We didn't know about it.


Facebook's Zuckerberg drops contested plan to keep control with new class of voting stock

USATODAY - Tech Top Stories

"Over the past year and a half, Facebook's business has performed well and the value of our stock has grown to the point that I can fully fund our philanthropy and retain voting control of Facebook for 20 years or more," Zuckerberg said in a Facebook post. "As a result, I've asked our board to withdraw the proposal to reclassify our stock -- and the board has agreed." Facebook's stock price has jumped more than 50% since the Silicon Valley company proposed issuing the nonvoting shares in April 2016. Priscilla Chan speaks onstage at the Fortune Most Powerful Women Summit. Zuckerberg made the proposal after his advisers warned he risked losing voting control over Facebook if he sold a few billion dollars' worth of Facebook shares.


Facebook proposes new shares to keep Zuckerberg control

USATODAY - Tech Top Stories

SAN FRANCISCO -- Facebook's board of directors has voted to create a new class of shares, a "C" class, that will have no voting rights in a bid for CEO and founder Mark Zuckerberg to remain active and retain control of the tech giant. If the proposal is approved, the shares will be issued as a one-time dividend, two shares apiece to Class A and Class B class common stock holders. The company announced the three-for-one stock split to create a new class of non-voting shares in a filing Wednesday at the same time that it announced first-quarter earnings. With the split, Facebook shareholders will receive two non-voting shares for each single share they hold. Shareholders will vote on the proposal at the company's annual meeting on June 20.


Facebook Board Seeks Curb In Zuckerberg Control In Event Of Founder's Departure

International Business Times

Facebook Inc.'s board has proposed removing Mark Zuckerberg's majority voting control in the event of the social media giant's chief executive and founder deciding to exit management at some point in future. In a proxy filing on Thursday with the U.S. Securities and Exchange Commission, Facebook's board said it will ask shareholders to vote on a proposal that would convert Zuckerberg's Class B shares into Class A shares if he is no longer in a leadership position. As of June 2, Zuckerberg beneficially owned about 4 million Class A shares and about 419 million Class B shares, collectively representing about 53.8 percent of total outstanding voting power and 14.8 percent of total outstanding economic interests. The proposed move -- to be voted on at Facebook's annual general meeting on June 20 -- is designed to make sure a future Facebook chief's management powers aren't limited, the board said. "These new terms thus ensure that we will not remain a founder-controlled company after we cease to be a founder-led company," the board said in the filing.


Facebook's Zuckerberg May Lose Majority Voting Control If He Exits

International Business Times

Facebook Inc's (FB.O) board has proposed removing Mark Zuckerberg's majority voting control in the event of the social media giant's chief executive and founder deciding to exit management at some point in future. In a proxy filing with the U.S. Securities and Exchange Commission, Facebook's board said it would ask shareholders to vote on a proposal that would convert Zuckerberg's Class B shares into Class A shares if he is no longer in a leadership position. The move was first proposed in late April in a regulatory filing. As of June 2, Zuckerberg beneficially owned about 4 million Class A shares and about 419 million Class B shares, collectively representing about 53.8 percent of total outstanding voting power and 14.8 percent of total outstanding economic interests. The proposed move, to be voted on at Facebook's annual general meeting on June 20, is designed to make sure a future Facebook chief's management powers aren't limited, the board said.