More Info On The Stock Split.....
What does it mean for investors?
There are a number of key takeaways for investors worth emphasizing:
1. Economic value remains the same. The total economic value of investor holdings after the stock split will remain the same. This value will simply be split into two non-voting Class C shares and one voting Class A share. For example, if the split occurs when Facebook shares are trading at $113, investors will have two Class C shares worth about $37.66 and one Class A share worth about $37.66.
2. Outside investors' voting power is unchanged. Investors will still have the same voting power after the split as they had before it.
3. Zuckerberg can continue doing what he wants. For Facebook shareholders who are fans of Zuckerberg's leadership, this split is great news. It means the CEO can maintain his control over the company even as he continues giving his wealth away, enabling him to continue making the long-term-oriented investment decisions that have made the social network so successful in the past without having to worry about pressure from investors.