Anthropic’s Unconventional Share Structure Raises Questions

As Anthropic prepares to go public later this month, its complex share class structure is drawing attention from investors and analysts.

The company will offer Class A shares to the public, which will give outside shareholders a stake in the business but little say in its governance. In contrast, the Long-Term Benefit Trust (LTBT) and the Founder LLC hold significant control over the company despite holding relatively few shares.

The LTBT, a five-seat independent group of trustees, holds a single Class T share that allows it to elect four of Anthropic’s seven directors and remove them without cause. Meanwhile, the Founder LLC, comprising Anthropic’s seven cofounders, holds a single Class F share.

This unusual governance structure raises questions about who truly controls the company. While outside shareholders will have a stake in the business, they will not have significant voting power. This could limit Anthropic’s ability to maximize shareholder returns and may also restrict its eligibility for major indexes.