DISCOUNTS APPLICABLE TO HOLDING COMPANY
Holding Company Mr. Chander Sawhney Vice President +9810557353 chander@indiacp.com When a company is holding a large chunk of investments in other companies and it's not having any material business operations of its own, it is called a "Holding Company". A holding company typically does not have its own business operations other than the retention and management of assets in anticipation of future sale or trade or may be as a part of its corporate structure. The holding company thus derives its income primarily through the return on assets held for investment purpose. To be particular, income of holding company is only the dividends received by it from the investments made in other companies. Valuation of Holding Companies There are two ways to look at value of a holding company: