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Holding Company |
Also found in: Dictionary/thesaurus, Medical, Financial, Encyclopedia, Wikipedia, Hutchinson | 0.01 sec. |
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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. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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has resolved to begin preparations for a shift to a pure holding company system with a target date of April 1, 2007 at the meeting of the Board of Directors held on July 26. The tax law is not clear as to whether the acquisition of the assets of a holding company by its less-than-80%-owned subsidiary satisfies the continuity-of-business-enterprise (COBE) requirement, a necessary element to qualify the acquisition as a tax-free reorganization. 10) Subpart J governs the conduct of merchant banking investment activities by financial holding companies as permitted under section 4(k)(4)(H) of the Bank Holding Company Act (12 U. |
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