Do holdings get dividends from subsidiaries?

English Boards General
1

Hi all,

I was just wondering, I’ve set up a holding group with one subsidiary which is my airline. This subsidiary has become slightly profitable (if not by more than $600k a week). I read somewhere 15% is given out as a dividend but neither enterprise is listed on the stock market so is it possible for my holding group to collect any dividend?

Thank you

2

Your subsidiary must be listet on the stockmarket, then you`ll get a dividend.

3

If you have an sucessfull IPO with your subsudiary then your holding will hold 80% of the shares and 20% will be held by other companies. In this case your holding will get 80% from the dividend you payed. But if you are not listed on the stockmarket you will not pay a dividend and hence your holding will not recieve a dividend.

4

Ok makes sense,

Cheers guys.