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Shopify Takes Heat From ISS Over Plan to Give CEO More Power

  • Advisory firm recommends shareholders reject founder share
  • Glass Lewis previously said it is against the proposal
Shopify Plummets Most Since 2020 on Slowing Growth Outlook
Photographer: Gabby Jones/Bloomberg
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Shopify Inc.’s proposal to give special voting rights to Chief Executive Officer Tobi Lutke has run into a powerful opponent, as another prominent advisory firm tells shareholders they should reject it. 

Institutional Shareholder Services Inc. said it opposes the company’s plan to grant Lutke a “founder share” that allows him to effectively control the Canadian company’s board, even if his ownership stake declines. Another proxy advisory firm, Glass Lewis & Co., is also against the proposal, which investors will vote on June 7.