Dual-Class Shares

Dual-class shares are a corporate structure in which a company issues more than one class of stock carrying different voting rights, typically letting founders and insiders keep voting control even after selling most of the economic ownership to the public. Reddit adopted such a structure when it listed on the New York Stock Exchange in March 2024 under the ticker RDDT, pricing its offering at thirty-four dollars a share.

Reddit's charter authorises Class A shares with one vote each, which are the publicly traded shares, Class B shares with ten votes each held by insiders, and a non-voting Class C class. According to the company's registration statement, Class B holders controlled roughly ninety-seven percent of the voting power after the offering, and voting arrangements with Advance Publications, Reddit's largest shareholder, and with Tencent concentrated a large share of total voting power around the chief executive. The structure matters because public investors who bought Class A stock hold little real voting influence, leaving control concentrated with founders and early backers, a governance pattern common to many technology listings and a recurring concern for shareholder-rights advocates.