4 ms·
The whole notion of different stock classes for plebs vs insiders is a racket, anyway. It makes no sense that someone could own a small minority of shares and
by mi100hael 10y ago
The whole notion of different stock classes for plebs vs insiders is a racket, anyway. It makes no sense that someone could own a small minority of shares and yet still exert total control over a company. If you want to raise money and put yourself on a market without giving up control, you issue bonds like companies have done for years.
- arjunnarayan 10y agoNobody forced you to buy Facebook shares. The stock classes were disclosed at IPO. These were the terms. If you want to buy into a company and have control, buy some other company's stock.
- sireat 10y agoEven those shareholders buying the lesser class stock at IPO had certain rights. The whole point of the lawsuit is that certain shareholder rights were violated by board's actions.
- arjunnarayan 10y agoYes, I agree with you. I'm replying specifically to the parent comment that says dual class stock is a 'racket'.
- golergka 10y agoHow a deal that two sides voluntarily agreed on can be a racket?