#Sweden #Gothenburg #Series B #Series A #AB Volvo

AB Volvo's Recent Changes in Voting Structure

On February 28, 2025, AB Volvo announced a significant update regarding its voting structure following the conversion of certain shares. This change involves 10,000 Series A shares being converted into an equal number of Series B shares, as allowed under the company’s Articles of Association since 2011. This strategic move is part of Volvo’s ongoing efforts to optimize their shareholders' voting options.

This conversion comes into effect as the last trading day of February concludes, leading to a total of 2,033,452,084 registered shares currently held by AB Volvo. Among these, there are 444,974,560 Series A shares and 1,588,477,524 Series B shares. The total number of votes attributable to these shares now stands at 603,822,312.4 votes, calculated based on the issued and outstanding registered shares.

The transformation of shares from Series A to Series B is particularly important within the competitive automotive and transport sector where shareholder influence can significantly affect company directives and decisions. Series B shares typically carry fewer voting rights, which, according to the company, can facilitate the distribution of voting power among a broader base of shareholders.

Background of the Conversion

The provisions allowing for the conversion of Series A shares into Series B shares were incorporated into Volvo’s governing documents during the 2011 Annual General Meeting, reflecting the company's proactive stance in adapting to evolving shareholder needs and market conditions. This flexibility supports investor participation in corporate governance in alignment with modern business practices.

Volvo’s management is dedicated to enhancing its strategic governance framework, ensuring that decisions reflect the diverse interests of its shareholders. The ongoing adjustments and updates to the voting structure mark a crucial step in ensuring that shareholders have a voice in the company’s direction.

Profile of AB Volvo

Founded in 1927, AB Volvo has grown to become a global leader in transportation and infrastructure solutions. The company is headquartered in Gothenburg, Sweden, with a workforce exceeding 100,000 employees. Volvo operates in nearly 180 markets worldwide, actively providing various products including trucks, buses, construction equipment, and marine applications, alongside a suite of tailored financing and support services.

Volvo emphasizes sustainability in its operations, aiming to shape the future landscape of the transport sector with innovative and eco-friendly solutions. In 2024, the company reported sales amounting to approximately SEK 527 billion (around EUR 46 billion), indicative of its robust market presence and performance. The company is publicly traded on Nasdaq Stockholm, maintaining an open line of communication with shareholders and stakeholders alike.

Shareholder inquiries and further insights into the number of votes can be directed to Claes Eliasson, Head of Media Relations at AB Volvo.

Conclusion

As AB Volvo continues its journey toward sustainable and innovative transportation solutions, this recent shift in voting structure is more than a mere procedural change; it represents the company’s commitment to inclusive governance and strategic growth. Shareholders can look forward to a more engaged experience as AB Volvo adapts to the needs of its diverse stakeholder base, ensuring that every voice counts in shaping the future of this iconic enterprise.