What does controlling interest mean?

Definitions for controlling interest
con·trol·ling in·ter·est

This dictionary definitions page includes all the possible meanings, example usage and translations of the word controlling interest.

Princeton's WordNet

  1. controlling interestnoun

    ownership of more than 50% of a corporation's voting shares


  1. Controlling interest

    A controlling interest is an ownership interest in a corporation with enough voting stock shares to prevail in any stockholders' motion. A majority of voting shares (over 50%) is always a controlling interest. When a party holds less than the majority of the voting shares, other present circumstances can be considered to determine whether that party is still considered to hold a controlling ownership interest.In the United States, Delaware corporations have a 2/3 vote requirement for a motion to pass. In theory, this could mean that a controlling interest would have to be over two-thirds of the voting shares. A 2019 study published in the Virginia Law Review said dual-class stock structures, common to newly public technology companies, creates governance risks and costs, including the potential loss of economic value for non-voting shares held by public investors.


  1. controlling interest

    Controlling interest refers to ownership of enough shares or voting rights in a company or other entity to make important decisions, set strategic direction, control its operations or influence its management. Generally, a controlling interest requires owning more than half of the voting shares or equity. It allows the holder to dictate the entity's activities, override decisions made by minority shareholders, and essentially control its financial and operational policies.


  1. Controlling interest

    Controlling interest in a corporation means to have control of a large enough block of voting stock shares in a company such that no one stock holder or coalition of stock holders can successfully oppose a motion. In theory this could mean that controlling interest would be 33.4% or 50% of the voting shares plus one. In practice, though, controlling interest can be far less than that, as it is rare that 100% of company voting shareholders actively vote. While most small corporations do not have a 2/3 vote requirement, in the opposite, most large companies especially Delaware corporations, do have a 2/3 vote requirement. A company that requires a 2/3 super-majority of shares to vote in favor of a motion can grant, in effect, veto power to a minority shareholder or block of shareholders that own more than 1/3 of the shares. Thus in some cases a single entity can essentially maintain control with only 33.4% of the outstanding shares. Ford Motor Company's former 33.9% ownership of Mazda North American Operations is an example of a controlling interest with minority shareholding that was granted by Mazda.

Matched Categories

How to pronounce controlling interest?

How to say controlling interest in sign language?


  1. Chaldean Numerology

    The numerical value of controlling interest in Chaldean Numerology is: 9

  2. Pythagorean Numerology

    The numerical value of controlling interest in Pythagorean Numerology is: 6

Examples of controlling interest in a Sentence

  1. Bill E Ford:

    Growth equity is quite different from other flavors of private equity. In our industry, on one end of the spectrum, there are the global buyout firms that buy a controlling interest in companies by using leverage and they typically focus on operational efficiency.

  2. Cullen Hightower:

    Our ego is our silent partner--too often with a controlling interest.

Translations for controlling interest

From our Multilingual Translation Dictionary

Get even more translations for controlling interest »


Find a translation for the controlling interest definition in other languages:

Select another language:

  • - Select -
  • 简体中文 (Chinese - Simplified)
  • 繁體中文 (Chinese - Traditional)
  • Español (Spanish)
  • Esperanto (Esperanto)
  • 日本語 (Japanese)
  • Português (Portuguese)
  • Deutsch (German)
  • العربية (Arabic)
  • Français (French)
  • Русский (Russian)
  • ಕನ್ನಡ (Kannada)
  • 한국어 (Korean)
  • עברית (Hebrew)
  • Gaeilge (Irish)
  • Українська (Ukrainian)
  • اردو (Urdu)
  • Magyar (Hungarian)
  • मानक हिन्दी (Hindi)
  • Indonesia (Indonesian)
  • Italiano (Italian)
  • தமிழ் (Tamil)
  • Türkçe (Turkish)
  • తెలుగు (Telugu)
  • ภาษาไทย (Thai)
  • Tiếng Việt (Vietnamese)
  • Čeština (Czech)
  • Polski (Polish)
  • Bahasa Indonesia (Indonesian)
  • Românește (Romanian)
  • Nederlands (Dutch)
  • Ελληνικά (Greek)
  • Latinum (Latin)
  • Svenska (Swedish)
  • Dansk (Danish)
  • Suomi (Finnish)
  • فارسی (Persian)
  • ייִדיש (Yiddish)
  • հայերեն (Armenian)
  • Norsk (Norwegian)
  • English (English)

Word of the Day

Would you like us to send you a FREE new word definition delivered to your inbox daily?

Please enter your email address:


Use the citation below to add this definition to your bibliography:


"controlling interest." Definitions.net. STANDS4 LLC, 2024. Web. 19 Apr. 2024. <https://www.definitions.net/definition/controlling+interest>.

Discuss these controlling interest definitions with the community:


    Are we missing a good definition for controlling interest? Don't keep it to yourself...

    Free, no signup required:

    Add to Chrome

    Get instant definitions for any word that hits you anywhere on the web!

    Free, no signup required:

    Add to Firefox

    Get instant definitions for any word that hits you anywhere on the web!

    Browse Definitions.net


    Are you a words master?

    quickly aroused to anger
    A irascible
    B usurious
    C jejune
    D valetudinarian

    Nearby & related entries:

    Alternative searches for controlling interest: