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Holding company
If a company holds 20% equity share capital and 32% preference share capital in another company then can we say that first company is holding company?
Replies (3)
For holding company the company must hold 20% of share capital of it's subsidiary company
If a company holds more than 50% of equity shares of other company then controlling company is called holding company
If such preference shares get voting rights,due to non payment of dividend (like cumulative ) then company will be considered as subsidiary
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