Management Glossary

  Search Results: principal shareholder
principal shareholder

Any shareholder owning at least 10% of a company's outstanding shares. There may be no principal shareholders in a company and, clearly, there can be at most 10. (In reality, in the common use of the word there would have to be less than 10, because  one usually speaks of principal shareholders only when talking about publicly traded company, but a company in which 100% of shares are divided among only 10 shareholders would not be able to trade on a stock exchange.)

Contributed by: Managerwise Staff

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