1. Shareholders own 67% or more than two-thirds of the shares and have absolute control over the company's affairs
Regardless of whether it is a limited liability company, a share*** or a listed company, all major matters have the right to pass or veto.
2. Shareholders own more than 50% and less than two-thirds of the shares and have relative control over the company's affairs
1) To review the report of the promoter on the preparation of the company;
2) Adoption of the Articles of Association;
3) Election of members of the Board of Directors;
4) Election of members of supervisors;
5) Review the establishment expenses of the company;
6) Review the valuation of the property used by the promoter to offset the share payment;
7) In the event of force majeure or major changes in business conditions that directly affect the establishment of the company, a resolution may be made not to establish the company.
Resolutions on the matters listed above must be passed by a majority of the voting rights held by the subscribers present at the meeting.
3. Shareholders own 334% or more of the shares, with one veto on corporate matters
For limited liability companies, resolutions to amend the articles of association, increase or decrease the registered capital, as well as the merger, division, dissolution or change of the form of the company...If you hold more than one-third of the company's shares individually or collectively, then you can veto the above-mentioned material matters and are protected by the company law.
For shares*** and listed companies, holding 34% of the shares can have absolute veto power, instead of 51%. This is because decisions on major issues of the company at the general meeting of shareholders require more than two-thirds of the shareholders to vote in favor before they can be passed. In practice, only by holding more than one-third of the company's equity can the company be safely controlled.
Fourth, the shareholder owns 30% of the shares and enjoys the right to acquire, or has reached the tender offer line of the listed company
5. Shareholders own 20% of the shares, which is a major warning line for intra-industry competition
To put it simply, if a shareholder of a company owns more than 20% of the company's equity, then he cannot work or serve in the same industry as stipulated in the company law, otherwise it is illegal.
6. Shareholders who own more than 10% of the shares will enjoy the right of extraordinary meeting: they can raise issues such as inquiry, investigation, prosecution, liquidation, and dissolution of the company
