Thailand Eyes Dual-Class Share Law to Unlock Family Business Growth
Thailand's stock exchange is pushing for dual-class shares to let family business owners raise capital while keeping voting control, with 84% of listed firms currently family-owned and employing 1.68 million people.
The Stock Exchange of Thailand is pressing for legal reforms to introduce dual-class shares, which would allow original owners to retain voting rights while raising capital without losing management control. SET Chairman Kitiphong Urphipattanapong announced the initiative at the Fourth SET Annual Conference on Family Business, emphasizing that family businesses form the foundation of Thailand's capital market.
Current statistics show that of 843 companies listed on the Thai stock market, 705 are family-owned firms, representing 84 percent of all listed companies. In terms of market capitalization, family businesses account for 10.9 trillion baht out of the total market value of 20.15 trillion baht, or 54 percent. Family businesses also employ over 1.68 million people—85 percent of total employment at listed firms—and contribute 165 billion baht in corporate income tax, representing 21.4 percent of total collections in 2025.
Despite their significant market share, many large family businesses hesitate to list because they fear losing management control to outside investors. The dual-class share structure would create two share categories: Class A shares for general investors with one vote per share, and Class B shares for founders or family businesses with two to five votes per share. Dividend rights would remain equal for both classes.
This legal reform would allow family business owners and new-economy firms to raise capital for expansion while maintaining voting control, even if their shareholding drops to 30-40 percent. A working group is preparing the proposal for submission through the Thai Chamber of Commerce, Federation of Thai Industries, Thai Capital Market Organization, and the Ministry of Finance. Policy makers have approved the concept in principle, with implementation expected by late 2025 or early 2026 if parliamentary approval is completed this year. Safeguards including sunset clauses will be included to prevent misuse or nominee arrangements.
