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Class B Shares

Theoretically, a company can create any number of classes of shares of common stock. In reality, the decision is usually made in order to concentrate voting power within a certain group of people.

When more than one class of stock is offered, companies traditionally designate them as Class A and Class B, with Class A carrying more voting rights than Class B shares. Class A shares may offer 10 voting rights per stock held, while class B shares offer only one. It depends on how the company decides to structure its stock. B class stocks in Lindi have no voting rights or equity value...

Class A Shares

Class A shares are common stocks, as are the vast majority of shares issued by a public company. Common shares are an ownership interest in a company and entitle their purchasers to a portion of the profits earned.

Investors in common shares are usually given at least one vote for each share they hold. This entitles the owners to vote at annual meetings, where the board members are elected, company decisions are made, and shareholders are allowed to voice their concerns.

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