Ownership and management

Controlling Shareholder

A person, family, company or government that owns enough voting shares to decide the company's direction.

Why does it matter?

The controlling shareholder chooses most of the board, so minority shareholders have limited influence.

How do I read it?

Control is common in Brazil, as with the federal government at Petrobras. In the U.S., founders sometimes keep control through shares with extra votes, as at Meta and Alphabet.

Example

If a family owns 51% of a company's voting shares, it can elect most of the board and decide major matters, even if thousands of other shareholders vote against.