Questions....

[richardgreen]

Dear All,

I have a couple of questions (due to curiosity mainly!):

1. Assuming 123 Ltd owns ABD Ltd, could 123 Ltd float ABC Ltd?

2. Can a Ltd company buy a Limited Liability Partnership?

Thanks in advanced

Richard

 

[Alpha]

Richard

1) Not quite sure what you are getting at with this question

2) Yes a limited company can buy an LLP (A limited company can also be one of the partners of an LLP............thats your bonus answer )

 

[Ozzy]

Hi Richard,
Assuming this is what you mean....

123 Limited owns the shareholding in ABC plc, as in ABC plc is a subsidery company, then yes it can float it. Usual legal and FSA rules and regulations apply

Also, just a comment, floating is losing its attraction because its expensive and restricts what you can do with the company - you lose your freedom and you have shed loads more red tape to abide by.
My Personal opinion is only float your company if it fits in with your exit strategy.

 

[richardgreen]

Hi Guys,

Just wanted to say many thanks for the answers.

I have another couple of questions (sorry to drive everyone mad!) that I was wondering if anyone could help me with:

1. If 2 Ltd companies wanted to merge, am I right in assuming that a new company would have to be incorporated with the 2 orginal companies becoming subsidaries of the new company? Also, could a Ltd company and a PLC merge?

2. If you had a ltd company, and you wanted to protect the name globally (i.e. didn't want someone overseas using the same name to avoid confusion) Is there a way of protecting a ltd company name overseas?

Thanks again

Richard

 

[creospace]

I think in reply to your second question, it seems today it depends who is the biggest company and who has the best solicitors and thus biggest 'legal budget'

Gary

 

[Ozzy]

Richard,

1.
There are several ways to do this.
A new company is formed and the two companies own shares in the new company or one company buys the other in return for equity. These are the two most common routes taken.

2.
Speak to Crossguard

Hope these bits help.