Private Shareholding Company

Private Shareholding Company Dubai

Private Shareholding Company refers to the possession of a big business corporation in two diverse behaviours —first, referring to ownership by non-governmental organizations and second, referring to ownership of the company’s stock by a relatively small number of holders who do not trade the stock publicly. A Private Shareholding Company in UAE is incorporated by a minimum of three members. Private Shareholding Companies in the UAE do not allow the public to share subscribing. Private Shareholding Company is incorporated by a number of persons not less than three. Unlike a public shareholding company, a private shareholding company cannot invite the public to subscribe to its shares. The minimum share capital to form a private shareholding company is AED 2 million. (US $ 544,959). The Chairman and majority of the Directors in a private shareholding company must be UAE nationals.

Private Shareholding Company

A Private Shareholding Company in UAE is incorporated by a number of persons not less than three. Unlike a public shareholding company, a private shareholding company cannot invite the public to subscribe to its shares.

It is a company incorporated by a number of persons not less than three. Such a company setup in UAE cannot invite the public to subscribe to its shares, the founding shareholders subscribe in full to the paid-up capital which should not be less than one million dirhams. A private shareholding company must have a minimum of three shareholders. The minimum capital of a private shareholding company is DH 2 million. Shares may not be offered to the public. The private shareholding company’s incorporation documents must preclude the public offering of shares.
Except for the foregoing, all the provisions which apply to the public shareholding companies shall apply to the private shareholding companies, and the incorporation of the company shall be in accordance with the procedure and conditions followed in respect thereof except for the public subscription in the company’s shares.