• The Wall Street Journal reports that "Shopify is asking investors to approve changes to its complex share structure to protect the voting power of the Canadian technology company’s leader. The company also is proposing a 10-for-1 stock split … Under the proposal, co-founder and Chief Executive Officer Tobi Lütke will receive a new 'founder share' that, combined with his existing supervoting Class B shares, will increase his voting power to 40% from 34%. Mr. Lütke, who is 41 years old, will keep the founder share as long as he remains at Shopify as an executive, a board member or a consultant."
According to the Journal, "Shopify, which provides software and services to businesses that want to sell goods online, was one of the biggest winners during the pandemic. As people went into lockdown, e-commerce activity surged and Shopify’s stock increased more than 300% between the beginning of 2020 and its peak in late 2021. This year, as pandemic restrictions have eased, shoppers returned to physical stores and the company outlined plans to invest to build its own delivery network, the company’s share price has tumbled.
"Tesla Alphabet and Amazon.com have announced stock splits in recent weeks. Stock splits don’t change the value of a company or an investor’s stake, yet investors have rewarded the companies this year."