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Holding company
Practical Law UK Glossary 3-107-6691 (Approx. 3 pages)
Glossary
Holding company
The meaning of this term varies depending on the context in which it is used. For the purposes of the Companies Acts, a company is a "subsidiary" of another company, its "holding company", if that other company:
- Holds the majority of the voting rights in it, or
- Is a member of it and has the right to appoint or remove a majority of its board of directors, or
- Is a member of it and controls alone, under an agreement with other members, a majority of the voting rights in that company,
or if it is a subsidiary of a company that is itself a subsidiary of that other company.
See also Subsidiary and Schedule 6 of the Companies Act 2006 that contains supplementary provisions explaining the expressions used in section 1159.