A single class share structure, with one vote per share, allows all investors to participate equally in promoting and maintaining good corporate governance. This can ultimately make companies more accountable to shareholders. Investors, finance professionals and academics, however, continue to debate the benefits of non-standard capital structures.

Many question whether the initial freedom given to selected shareholders, who control the company and its board, evolves into increasing risk for long-term investors by entrenching management and disadvantaging minority investors.

On the other hand, dual-share capital structures can be beneficial to companies, especially during the early stages of development post-IPO. They can prevent ‘short-termism’ and a focus on quarterly results as opposed to long-term goals. They can also shield the company from disruptive corporate actions and mergers and acquisitions. There is some evidence to suggest that dual-class structures may be linked to positive returns and company performance, particularly in the technology sector.