What are the main similarities and differences between Series A and Series B shares?
Both Series have the same economic rights (i.e. both Series are entitled to share equally in any dividends declared on the outstanding stock) and on any shareholders meeting, be it ordinary or extraordinary, one share equals one vote, with the sole exception on the election of the Board of Directors, in which the Series A shareholders elect seven members and the Series B shareholders elect one member.. Additionally, Series B shares cannot exceed 50% of the Company’s issued and outstanding stock, shareholders of at least 5% of this Series may call an ordinary or extraordinary Shareholders Meeting and the Director elected by this Series may request an extraordinary Board Session without the authorization of the Chairman of the Board. On the other hand, the Director elected by the Series B shares cannot vote in the election of the Chairman of the Board after a tie vote has occurred in the preceding voting process.
