20% Shareholder Definition | Law Insider (2024)

  • 10% Shareholder means the owner of stock (as determined under Code Section 424(d)) possessing more than ten percent (10%) of the total combined voting power of all classes of stock of the Corporation (or any Parent or Subsidiary).

  • ² Shareholder means a person who owns shares in the company and is actively involved in the management of the company or business and exercises control over the company.

  • Company Shareholder means the legal and beneficial owner of 100% of the issued share capital of OEC.

  • 10% Stockholder means the owner of stock (as determined under Code Section 424(d)) possessing more than ten percent (10%) of the total combined voting power of all classes of stock of the Corporation (or any Parent or Subsidiary).

  • Preferred Shareholder means a holder of a Preferred Share.

  • Major Shareholder means a shareholder who directly or indirectly holds 10% or more of the voting rights.

  • Initial Shareholder means any beneficial owner of the Company’s unregistered securities.

  • Selling Shareholder has the meaning set forth in Section 5.3(a).

  • Principal Shareholder means any Person which is the beneficial owner, directly or indirectly, of more than five percent (5%) of the Outstanding Shares of the Trust or of any Class and shall include any "affiliate" or "associate", as such terms are defined in Rule 12b-2 of the General Rules and Regulations under the Securities Exchange Act of 1934. For the purpose of this Section 8.4, in addition to the Shares which a Person beneficially owns directly, (a) a Person shall be deemed to be the beneficial owner of any Shares (i) which the Trustees determine it has the right to acquire pursuant to any agreement or upon exercise of conversion rights or warrants, or otherwise (but excluding Share options granted by the Trust) or (ii) which the Trustees determine are beneficially owned, directly or indirectly (including Shares deemed owned through application of clause (i) above), by any other Person with which it or its "affiliate" or "associate" (as defined above) has any agreement, arrangement or understanding for the purpose of acquiring, holding, voting or disposing of Shares, or which is its affiliate or associate, and (b) the outstanding Shares shall include Shares deemed owned through application of clauses (i) and (ii) above but shall not include any other Shares which are not at the time issued and outstanding but may be issuable pursuant to any agreement, or upon exercise of conversion rights or warrants, or otherwise.

  • Existing Shareholder means any Person that is a holder of Ordinary Shares as of December 8, 2017.

  • Shareholder means a person who owns shares in the company and is actively involved in the management of the enterprise or business and exercises control over the enterprise.

  • Ordinary Shareholder means a holder of ordinary shares;

  • Common Stockholder means the employee of, consultant to, or director of the Company or other person to whom shares of Common Stock are issued pursuant to this Plan.

  • Majority Shareholder means (i) the Company’s majority shareholder as of the First Restatement Effective Date or (ii) a Benckiser Permitted Holder as defined in the Company’s Certificate of Incorporation effective on the First Restatement Effective Date or any other similarly situated Person as determined by the Committee.

  • Record shareholder means the person in whose name shares are registered in the records of a corporation or the beneficial owner of shares to the extent of the rights granted by a nominee certificate on file with a corporation.

  • Controlling Shareholder of a corporation means a shareholder who or which holds (or another person who or which holds for the benefit of such shareholder), other than by way of security only, voting securities of such corporation carrying more than 50% of the votes for the election of directors, provided that the votes carried by such securities are sufficient, if exercised, to elect a majority of the board of directors of such corporation;

  • Company Shareholders means the registered or beneficial holders of the Company Shares, as the context requires;

  • Major Shareholders Means a person who has an interest or interests in one or more

  • Common Shareholders means the registered and/or beneficial holders of the Common Shares, as the context requires.

  • Class B Stockholder means (i) the registered holder of a share of Class B Common Stock at the Effective Time and (ii) the initial registered holder of any shares of Class B Common Stock that are originally issued by the Corporation after the Effective Time.

  • Major Stockholder means any such Person.

  • Stockholder means, with respect to any Person, each holder of Stock of such Person.

  • Eligible Shareholder means an existing or new investor of the Company that is eligible at the ACD’s discretion to invest in the Class X Shares upon entering into an agreement with the ACD and fulfilling the eligibility conditions set by the ACD from time to time.

  • Soliciting Shareholder means, with respect to any Special Meeting demanded by a shareholder or shareholders, any of the following Persons:

  • Preferred Stockholder means a holder of Preferred Stock.

  • Company Stockholder means the holder of either a share of Company Common Stock or a share of Company Preferred Stock.

  • 20% Shareholder Definition | Law Insider (2024)

    FAQs

    What does 20% shareholder mean? ›

    20% Shareholder means a Shareholder whose Aggregate Ownership of Shares (as determined on a Common Equivalents basis) divided by the Aggregate Ownership of Shares (as determined on a Common Equivalents basis) by all Shareholders is 20% or more.

    What is the minimum percentage of share to control a company? ›

    A controlling interest is, by definition, at least 50% of the outstanding shares of a given company plus one.

    What happens when you own 10% of a company? ›

    A principal shareholder is a person or entity that owns 10% or more of a company's voting shares. As a result, they can influence a company's direction by voting on who becomes CEO or sits on the board of directors. Not all principal shareholders are active in a company's management process.

    What is the legal definition of a shareholder? ›

    A person who owns stock in a corporation.

    What is a 20% shareholder of a public company? ›

    Nasdaq 20% Rule: Stockholder Approval Requirements for Securities Offerings. An overview of the so-called Nasdaq 20% rule requiring stockholder approval before a listed company can issue twenty percent or more of its outstanding common stock or voting power.

    What is the 20 shareholding threshold? ›

    20% acquisition limit

    Section 606 prohibits the acquisition of a relevant interest in voting shares if, because of that transaction, a person's voting power in the company: increases from under 20% to over 20% or. increases from a starting point that is above 20% and below 90%.

    What is minimum 25% public shareholding? ›

    SEBI regulations require a publicly listed company to have a minimum of 25% of its shares held by the public to be eligible to stay listed.

    Can a holding company own less than 50%? ›

    Holding Company Basics

    A holding or parent company may own a smaller stake, including less than 50%, as long as it gives the subsidiary's managers day-to-day control. But to be a holding or parent company it must have overall control of the subsidiary, being able to hire and fire executives and set strategy.

    What is a 30% controlling shareholder? ›

    1.2. 1 A controlling shareholder is defined under the Listing Rules as a person or group of persons who is entitled to control the exercise of 30% or more of the voting power at general meetings of the listing applicant or in a position to control the composition of the majority of its board of directors.

    Is a 10% owner an insider? ›

    Who is an insider? An “insider” is an officer, director, 10% stockholder and anyone who possesses inside information because of his or her relationship with the Company or with an officer, director or principal stockholder of the Company.

    What happens if you own more than 20% of a public company? ›

    An investor subject to U.S. GAAP that owns 20% or more of the company's voting stock (but not control of the company) is presumed to have significant influence over the company and is generally required to account for its investment on the equity method by including its proportionate share of the company's net income/ ...

    What happens if you own more than 5% of a company? ›

    When a person or group acquires 5% or more of a company's voting shares, they must report it to the Securities and Exchange Commission.

    What determines a shareholder? ›

    A shareholder is an owner of a company as determined by the number of shares they own. A stakeholder does not own part of the company but does have some interest in the performance of a company just like the shareholders.

    What is a shareholder in Black's law Dictionary? ›

    SHAREHOLDER Definition & Legal Meaning

    In the strict sense of the term, a “shareholder” is a person who has agreed to become a member of a corporation or company, and with respect to whom all the required formalities have been gone through ; e.

    What does 25% shareholding mean? ›

    Related Definitions

    25-percent Shareholder means a Participant who owns more than twenty-five percent of any class of outstanding stock of the Company or any Affiliated Company.

    What does 10% shareholder mean? ›

    10% Shareholder means a person who owns, directly or indirectly, stock possessing more than 10% of the total combined voting power of all classes of stock of the Company or any Parent or Subsidiary of the Company. Indirect ownership of stock shall be determined in accordance with Code Section 424(d).

    What is a significant shareholder 25%? ›

    A significant shareholder is any natural person who (i) owns, directly or indirectly, more than 25% of the service provider's share capital or voting rights, or who (ii) exercises, by any other means, a power of control over said service provider within the meaning of Article L.

    What can a 25% shareholder do? ›

    No matter how many shares you have, there are certain rights that you can exercise. Shareholders holding 25% or more of the shares in the company have the power to block some key decisions the company may wish to make, as these decisions require a 75%+ majority (passed by way of a 'special resolution').

    Top Articles
    Latest Posts
    Article information

    Author: Merrill Bechtelar CPA

    Last Updated:

    Views: 5898

    Rating: 5 / 5 (70 voted)

    Reviews: 85% of readers found this page helpful

    Author information

    Name: Merrill Bechtelar CPA

    Birthday: 1996-05-19

    Address: Apt. 114 873 White Lodge, Libbyfurt, CA 93006

    Phone: +5983010455207

    Job: Legacy Representative

    Hobby: Blacksmithing, Urban exploration, Sudoku, Slacklining, Creative writing, Community, Letterboxing

    Introduction: My name is Merrill Bechtelar CPA, I am a clean, agreeable, glorious, magnificent, witty, enchanting, comfortable person who loves writing and wants to share my knowledge and understanding with you.