Facebook recently announced that it will create a new class of non-voting shares to enable CEO Mark Zuckerberg to donate his shares to charity without having to part with control over the company. This comes after the Facebook CEO announced in December that he intends to part with 99 percent of his Facebook shares and use it to make the lives of the underprivileged better. "Him staying intact and moving forward and guiding the company is critical. This is his baby," said Daniel Morgan, senior portfolio manager at Synovus Trust Company, which owns about $40 million worth of Facebook shares.

What does that even mean?

It's a little heavy for someone like me to grasp, so here's an example - someone who has, let's say, the Class A shares at a closing price of $108.76, would now end up with that one Class A share and two Class C shares. Each of these would be priced at $36.25. "Since the Class C shares would have the same economic rights as the Class A and Class B shares, we would expect that after the payment of the stock dividend, the share price of the Class A common stock would generally reflect a three for one stock split," Facebook chief financial officer Dave Wehner said on a conference call.

It's still up for a vote, though

This plan, however, hasn't been finalised yet and is yet to be approved by Facebook's shareholders. It will be up for a vote when they meet on the 20th of June. It's mostly a formality, really. Since Zuckerberg controls the company, the chances of this proposal getting rejected are next to none.

Before this, Alphabet (Google's owner) has also been known to have traded non-voting shares.

As per Facebook, Zuckerberg owned around $4 million worth of Class A shares and $419 million worth of Class B shares, which have ten times the voting power than Class A shares. Zuckerberg owns 54% of the voting rights in the company.