Schroders intends to scrap its two-tier share structure in a move that will loosen the founding family’s grip on the business, make share buybacks easier and improve its governance reputation.
Non-voting shares will be converted to ordinary voting shares, while existing holders of voting shares will be given an extra three for every 17 they own to compensate them for the dilution of voting power, the company said.
The non-voting shares rose by 537p, or 29 per cent, to £24.05 yesterday, while the voting shares fell by 98p, or 3 per cent, to £28.68.
The fund management group said that the reform would enable all shareholders, who already share the same economic rewards and risks, to have the same voting rights. It would also increase
