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Definition

A shareholder with a dominant shareholding, but insufficient to give them control of a company. When a shareholder acquires more than 35% of a listed company, they are required to make an offer to minorities to buy them out of the business and so get at least 50%. For this reason, many investment holding companies acquire just less than 35%. A major shareholder may or may not be the company's largest shareholder. Anything above 5% could be considered major. The JSE requires listed companies to disclose on the stock exchange news service (SENS) whenever a shareholder increases their shareholding by units of 5%.

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