Re: Suppose a family owns 51% of their company's shares...
- From: "Adam Russell" <adamrussell@xxxxxxxxxxxxxxxxxxxxx>
- Date: Fri, 30 Jun 2006 09:14:31 -0700
"draccarlawpet" <zutalors212@xxxxxxxxx> wrote in message
news:1151681713.247452.61020@xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
Suppose a family owns 51% of their company's shares. The remaining 49%
is owned by the public on a stock exchange. Is this company regarded
as being public or private? On one hand, the private entity, the
family, owns the majority of the stocks, and this qualifies it as a
private company. On the other hand, it's on a public exchange, and
therefore, it could qualify as a publich company.
I think for a company to be public it has to be "taken public". That
involves something like registering with the appropriate government agencies
and a certain amount of regulation and they are required to make certain
information public (such as insider trades). I think it cannot be listed on
a public exchange unless it complies with all that.
.
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