UK fintech firm Wise is facing a shareholder rebellion after co-founder Taavet Hinrikus publicly opposed the company’s proposed shift of its primary stock listing to the United States, citing concerns over corporate governance changes embedded in the plan.
Wise, known for its low-cost international money transfers, listed in London in 2021 with a valuation close to £9 billion., urged fellow shareholders to reject the proposals. At the heart of his objections are amendments to the company’s dual-class share structure, which would extend enhanced voting rights for Class B shareholders by an additional 10 years.
In a statement released Monday, Skaala criticized the proposed extension, calling it “buried” within the broader listing plan and warning it “significantly exceeds standard practice.” The firm also warned the changes could harm Wise’s long-term value and reputation.
Wise, known for its low-cost international money transfers, listed in London in 2021 with a valuation close to £9 billion. Its decision last month to seek a primary US listing dealt a symbolic blow to the London Stock Exchange, which has been struggling to retain major tech listings.
While dual-class structures are more common in the US, critics argue they can concentrate power in the hands of a few shareholders. Wise, however, defended the structure in a statement Monday, saying it is “essential to ensuring our continued successful performance.” The company also noted it has received support for the proposals from leading proxy advisory firms ISS and Glass Lewis.
The showdown sets the stage for a critical shareholder vote, which will determine not only Wise’s listing future but also broader questions about investor rights and governance in the UK’s tech sector.
