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Substantial shareholdings

The 1967 Companies Act required a company to give particulars of its holdings in any other company that is not a subsidiary of the first, where those holdings exceed one-tenth of the available shares of a particular class or one tenth of the company’s assets. The 1981 Companies Act broadened this requirement, making it necessary to give specified details of holdings in any other company that is not a subsidiary, where those holdings exceed one-tenth of the nominal value of allotted share capital of that company. The information must be given in a note to the accounts, if not given in the body of the accounts, of the first company. It must consist of (1) the name of the second company, (2) the country of registration if different from that of the first company, and also country of incorporation if a foreign company, and (3) the identity and proportion of shares of each class held.

Reference: The Penguin Business Dictionary, 3rd edt.