shell company


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Related to shell company: shell corporation, Shell Oil Company

Shell Corporation

A company that exists as a vehicle for transactions without any independent activities or assets. Shell corporations are formed sometimes to obtain financing before they begin operations, or after a bankruptcy and business has ceased. They are also used in tax avoidance and tax evasion schemes: for example, companies may set up shell subsidiaries in tax havens and hide profits in them. See also: Reverse acquisition.

shell company

a company whose shares are currently listed on the STOCK MARKET but which is not actively trading. The share prices of such companies are generally very low and they may offer an attractive means for a business without a stock-market listing to acquire one by TAKEOVER.

shell company

a company that is not actively trading but that is still listed on the STOCK EXCHANGE. Such a company can be purchased in a REVERSE TAKEOVER by a company wishing to obtain a stock-exchange listing.
References in periodicals archive ?
The post US says Cyprus remains a major hub for shell company activity appeared first on Cyprus Mail .
Wire transfers related to suspected shell company activities accounted for hundreds of millions of dollars of FBME's financial activity between 2006 and 2014.
17) The only tangible component of a shell company may be a post office box; in other words, shell corporations are often "hollow" companies.
The deal was structured this way - via the purchase of assets rather than company shares - so that Asiatrust's shareholders would still be left with the shell company.
One of the most obvious illicit uses for a shell company is when a brand new shell company is set up and sold to foreign interests without actually operating as anything first.
Chrysler Group LLC (Chrysler), a United States-based automaker, has reached a deal with Shell company holding to which the automaker had sold its old assets.
For his part, Director of the Syrian General Company for the Storage and Distribution of Petroleum Products Nur Eddin Makhlouf said that many of the proposals of Shell Company are taken into consideration.
A SHELL company is defined as one which exists only in name.
In come cases, he set up a shell company and generated false invoices to make his firm the main creditor of the business.
Subsequent to the sale of the shell company to Sealord, LLC from Fidelity & Deposit Co.
An investor group led by VS&A Communications Partners II, LP (New York), an equity affiliate of Veronis Suhler Stevenson, and including Centaur Communications company founder/chairman Graham Sheeren, has sold Centaur Communications (London) to Centaur Holdings (London), a new shell company underwritten by brokerage firm Numis Securities (London), for 145 million [pounds sterling].