Meta approves nonvoting shares to help finance AI expansion
Meta plans a new Class C share category to raise capital, compensate employees and fund acquisitions while preserving existing voting power.
Meta AIMeta announced on October 21 that its board approved nonvoting Class C shares as it expands its AI investments. The stock would give the company another financing option and could also support acquisitions and employee pay.
Existing shareholders would receive one Class C share for every Class A or Class B share they hold. Meta said the distribution would preserve each shareholder's voting power and have the pricing effect of a two-for-one split.
The decision accompanies a higher minimum spending forecast for 2026. Meta now expects capital expenditures of $135 billion to $145 billion, lifting the lower end by $5 billion.
Meta plans for the charter change establishing the shares to take effect January 19, 2027, and intends to list them on Nasdaq. The board has yet to set eligibility and payment dates for the distribution.
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