Meta hands Mark Zuckerberg new shares to cover a billionaire tax after he threatened to quit California

In return, Zuckerberg has committed to remaining headquartered alongside Meta — whether that is California or elsewhere — for eight years. His threat centred on Proposition 40, a one-time 5% levy on billionaires that voters will decide next month. He will be allowed to sell 20% of the new non-voting Class C stock straight away, so he can settle any tax bill without giving up voting control.

Zuckerberg, worth roughly $240bn, reportedly weighed dumping his $110m California home.

Meta plans to issue the new non-voting Class C shares in January 2027.

California is home to around 250 billionaires whose combined net worth tops $2tn.