What is a holding company?

What is a holding company?

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June 8, 2021
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What is a holding company?

Answer and ExplanationSolution by a verified expert

Explanation

A holding company, also called the parent company, is a company that is formed for the primary purpose of owning the stocks of other companies. It can control the subsidiary company's board of directors. It controls the bye-laws and the corporate governance procedures of the subsidiary company.

Verified Answer

A holding company is a company which is formed for the purpose of owning the stocks of other companies.

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