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What is meaning of wholly owned subsidiary?


09 November 2009 Q. What does it mean "WHOLLY OWNED SUBSDIARY" if a company have to have atleast 2 SH

09 November 2009 A wholly-owned subsidiary is a company whose stock is entirely owned by another company. The owner of a wholly-owned subsidiary is known as the parent company or holding company. As per companies act 1956 there should be at least 2 shareholders. Hence a company will be referred as wholly owned subsidiary when all shares of subsy are held by parent with its nominees.

09 November 2009 100% shares of subsidery co. is acquired\owned by holding co. , in this condition subsidery co. called as "WHOLLY OWNED SUBSDIARY".




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