Investor Glossary-majority shareholderInvestor Glossary-majority shareholderInvestor Glossary-majority shareholderInvestor Glossary-majority shareholderInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Majority Shareholder

The HTML to link to this page
 

In corporate governance, a majority shareholder is a shareholder that has a majority of the shares of a company. The majority shareholder exerts complete control over the company by being able to replace the board of directors and the management. A simple majority of 50% ownership usually confers majority shareholder status. A majority shareholder can be a single individual, most often in the case of a company founder. The majority shareholder can also be another corporation. An alternative means of retaining the complete control of a majority shareholder is through the use of voting rights. In this scenario, not all shares have equal voting rights, allowing for the possibility that one person can have the same control a majority shareholder would, through ownership of the majority of the voting rights. Public companies seldom have one majority shareholder, but the situation is quite common with private companies.



Rate this majority shareholder definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: FICO score, Key Rate Duration, implied volatility, 144a, required rate of return, class C shares, open position, Zero Cost Collar, ex-dividend date, retained earnings, LIBOR, stock split, EBITDA, ex-dividend, limit order, balance sheet, FTSE, deferred tax, liquidity ratio, 1031 exchange, per diem, deferred revenue, reverse mortgage, cancelled check, stock market close, margin rate, current ratio, diluted share, dividends payable, real GDP, in escrow, risk management, APR, irrevocable trust, command economy, quality assurance, wholly-owned subsidiary, 1035 exchange, option premium, VIX, covered put, labor relations, average price per share, inflation, phantom income, minority interest, 401a, debt service coverage, annual return


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Investor Glossary | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use