January 13, 2017

Types of companies registered in Pakistan on the basis of composition of shareholding

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Types of companies registered in Pakistan on the basis of composition of shareholding

Types of companies registered in Pakistan on the basis of composition of Shareholding:

On the basis of composition of shareholding the types of companies registered in Pakistan are as follows:

Holding Company:

A company is said to be holding company if that company directly or indirectly owns 50% or more of the voting securities of the company or the company has the power to elect or appoint more then 50% of the directors of the company.

Subsidiary Company:

A company is said to be the subsidiary of a company if any other company directly or indirectly owns or holds more than 50% of the voting securities or can appoint majority of its directors.

Associated Company:

Associated companies are those companies whose more than 20% shareholding is own by any other company.

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