Investing Holding Companies in Malaysia

A holding company is a company that owns other companies' outstanding stock. A holding company usually does not produce goods or services itself; rather, its purpose is to own shares of other companies to form a corporate group.

In Malaysia, a holding company can be either a private or a public company. A private holding company is one that is not listed on the stock exchange, while a public holding company is one that is listed.

A holding company can be used for a variety of purposes, such as to consolidate the ownership of a group of companies, to manage a group of companies, or to provide a holding structure for an acquisition.

There are several advantages to using a holding company structure. One advantage is that it can help to simplify the ownership and control of a group of companies. Another advantage is that it can provide a measure of asset protection, as the assets of the subsidiary companies are typically held by the holding company.

There are also a few disadvantages to using a holding company structure. One disadvantage is that it can be more expensive to set up and maintain a holding company than to simply own the shares of the subsidiary companies directly. Another disadvantage is that the holding company structure can create a complex web of corporate ownership