The dubious history of dual-class share activism in this country can be traced back to Rupert Murdoch. The Sun King’s media empire has always taken great pleasure in exposing the (real or imagined) shortcomings of public institutions while (legally or otherwise) minimising its own taxation, governance and, in the case of the UK phone-hacking scandal, ethical obligations.
And so it was in November 1993 when Murdoch announced plans to issue “super voting” shares in News Corporation. The new shares would carry 25 votes apiece meaning he could cement control of News Corp by increasing his family’s stake from 33 per cent to 60 per cent without buying a single extra share.
Loading...
The Australian Financial Review’s succinct take on the principles at stake in major domestic and global stories – and what policy makers should do about them.
