Meta Creates Non-Voting Stock to Fund AI Buildout, Keeping Zuckerberg in Control
Summary
Meta’s board approved a one-for-one dividend of non-voting Class C shares to existing Class A and B holders, effective Jan. 19, 2027. The move functions like a stock split and preserves voting power, while giving Meta a way to raise capital or fund compensation and acquisitions without diluting Mark Zuckerberg’s control. Advisers estimated Meta could raise about $700 billion before his voting stake fell below 50%, but CFO Susan Li said this was a theoretical maximum, not a current financing plan. Zuckerberg’s agreement restricts sales of most of his new shares and requires him to remain in the company’s headquarters state for eight years. The shares may trade at a discount and could pose tax-structuring complications.
