holding company

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Holding Company

A corporation that limits its business to the ownership of stock in and the supervision of management of other corporations.

A holding company is organized specifically to hold the stock of other companies and ordinarily owns such a dominant interest in the other company or companies that it can dictate policy. Holding companies must comply with the federal antitrust laws that proscribe the secret and total acquisition of the stock of one corporation by another, since this would lessen competition and create a Monopoly.


holding company

n. a company, usually a corporation, which is created to own the stock of other corporations, thereby often controlling the management and policies of all of them.


holding company

a company that controls, usually through a majority shareholding, another company or companies.
Collins Dictionary of Law © W.J. Stewart, 2006
References in periodicals archive ?
parent companies in the three-way link accounted for dominant shares of both U.S.
There is nothing in the record that eliminates the possibility that Megatel's former parent companies may have assumed some of its liabilities.
The guidelines, which were announced following endorsement by the Research Commission on the Finance and Banking Systems in the ruling Liberal Democratic Party, are designed to protect management independence because parent companies may be tempted to demand loans from banking subsidiaries during business slumps.
Some courts held parent companies liable if they actively participated in and exercised control over their subsidiary's business.
Larger IJVs are more likely than small IJVs to have professional managers who are linked to multinational parent companies and can articulate strategies and processes most clearly.
Who Owns Whom contains information on 25,000 parent companies and their 325,000 subsidiaries and associates.
Elimination of double taxation--In the second of these directives, the Commission proposes the elimination of double taxation of parent companies and subsidiaries operating in different member states.
The Court of Justice concluded that the tribunal did not err in law by declaring that the Commission had applied an identical method to all the parent companies concerned, including AOI, contrary to what the latter alleged.
parent companies increased 0.1 percent to 23.0 million workers, compared with a 0.6 percent decrease in total private-industry employment in the United States.
Reports indicate that banks in the country have started to support their foreign parent companies in the form of loans and deposits.
parent companies to establish and receive payment of the "loan" from a foreign subsidiary.
parent companies receiving dividends generally can apply for refunds from the British government of one-half of the ACT paid, less 5% notional withholding taxes.