Information & Inspection Powers: Information Notices: Third Party Notice: Groups: Groups of undertakings - definitions
An undertaking is a parent undertaking of another undertaking (a subsidiary undertaking) if
- it holds a majority of the voting rights, or
- it is a member of the other undertaking and has the right to appoint or remove a majority of its board of directors, or
it has the right to exercise a dominant influence over the undertaking
- through provisions in the undertaking’s articles, or
- through a control contract, or
- it is a member of the undertaking and controls alone, or under agreement with other shareholders or members, a majority of the voting rights in the undertaking
- it has the power to exercise, or actually exercises, dominant influence or control over the other undertaking or
- it and the other undertaking are managed on a unified basis.
‘Subsidiary undertaking’ of a parent undertaking includes subsidiaries of the parent undertaking’s subsidiaries, and so on.