Equity shares with Differential rights can be issued with Differences with respect to-

Can be issued with difference w.r.t. Dividends or Voting rights or Otherwise.

Equity shares with higher voting rights are generally given to promoters, key managerial persons, Managing directors etc. Equity shares with differential rights generally companies give because they want to improve the capital base but they do not want to lose the control or management of the affairs of the company

By: Srishti Gupta