associated company


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Related to associated company: subsidiary company

associated company

or

related company

a JOINT-STOCK COMPANY in which another company, the HOLDING COMPANY, has a significant but not controlling shareholding (specifically 20% or more of the voting shares but not more than 50%). In such a situation the investing company can exert influence on the commercial and financial policy decisions of the associated company though in principle the associated company remains independent under its own management, producing its own annual accounts, and is not a SUBSIDIARY COMPANY of the holding company.

If the second company held 50% or more of the first company's shares then the first company's assets and profits would be consolidated with those of the second, and the two companies would be regarded as part of the same group of firms. Where the second company holds 20% or more of the first company's shares then it must note in its own accounts information about the profits, capital and reserves of the first company in which it is heavily invested. If the second company holds less than 20% of the first company's shares it may still exercise influence over that company though it is not obliged to disclose details of its shareholding. See CONSOLIDATED ACCOUNTS.

associated company

a JOINT STOCK COMPANY in which another company or group has a significant, but not controlling, shareholding (specifically 20% or more of the voting shares but not more than 50%). In such a situation the investing company can exert influence on the commercial and financial policy decisions of the associated company, though in principle the associated company remains independent under its own management, producing its own annual accounts, and is not a subsidiary of the HOLDING COMPANY.
References in periodicals archive ?
Having diverted this income and just four days before trading ceased Callow went on to make an advance rent payment in the amount of 25,032 for trading premises which it shared with an associated company, and from which the associated company would benefit until 25 March 2015, before entering into Creditors Voluntary Liquidation on 4 February 2015 with a deficiency of 245,567.
LinkMed forms a scientific advisory board In April, LinkMed formed a scientific advisory board whose task is to evaluate the opportunities and risks of associated company projects and products, as well as new investment proposals.
Nera (Malaysia) is an associated company of Eltek's 50.
83% Italian associated company, Lovato SpA, performed satisfactorily.
Clipsal Industries' associated company, Gerard Industries Pty Ltd, will embark on an extensive marketing campaign to achieve market growth with concentration on data communications and C-Bus intelligent lighting systems.
Additional investments in or by the Company, or by an unrelated person in any of the Company's associated companies, provide no assurance that the Company or such associated company will succeed or that the Company's investments will be recovered or profitable.
Telia is expected to report capital gains totaling MSEK 3,200 during the third quarter, of which MSEK 2,700 is attributable to the sale of 40 million shares in the associated company Eniro AB, and MSEK 500 is attributable to the sale of Telia's properties in Farsta.
OTC: USXX) associated company, announced today that the company has appointed Phil Garfinkle Executive Advisor.
Technologies associated company, received a development grant from the Israeli government to fund research and development of its Cluster over IP (CoIP) technology.
AremisSoft also announced that it entered into a strategic partnership with CCS International (CCSI), an associated company of Interval International, where CCSI will be the exclusive reseller of the AremisSoft Hospitality suite of products to the vacation ownership industry.

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