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Forums › ACCA Forums › General ACCA Forums › voting rights and ownership interest
What is the difference between voting rights and ownership interest? Or they are actually same ?
If a company’s equity consists only of ordinary share capital of one class of share then voting rights will be proportionate to ownership interest. However, it is possible to issue different classes of share which may not have voting rights ,or may have restricted voting rights, if the constitution of the company has been drafted to allow the creation of such different classes of share. This may be done to maintain voting power of existing shareholders while raising equity capital through issue of share classes without same voting powers as existing share class or classes.