3 ms·

But if you own 90% of the shares, can't you just fire the board?

• diego 16y ago
  http://en.wikipedia.org/wiki/Golden_share http://en.wikipedia.org/wiki/Golden_share
• staunch 16y ago
  My understanding is that unless you have provision (in a shareholder's agreement for example) that gives you that power the answer is no. I believe that if you sued the company a judge would likely intervene on your behalf though.
  • Umalu 16y ago
    Ultimately the directors are always elected by the shares, and unless there is something really strange about the voting rights, someone owning a controlling interest in the shares should be able to control election to the board, which in turn would allow that person to control the board. Controlling the shares + controlling the board = controlling the company.
    • staunch 16y ago
      The shares do elect, but the owner of the shares can be required to vote a certain way. You could sell 90% of your shares and add a "ELECTION OF BOARD DIRECTORS" clause to the agreement. This is the same way drag along rights work.
• jamiequint 16y ago
  depends on the voting rights of the shares.