CERTYNEX IFRS ACADEMY

Cèdre SA holds 40% of the voting rights of Lierre SA. The remaining 60% is spread among a very large number of holders, none holding more than 1%, and these holders have never voted together at previous meetings (case data). What can be concluded about Cèdre's power?

Cèdre may have power: a holding significantly larger than that of the others, given how dispersed they are, may give it the practical ability to direct unilaterally.

Cèdre cannot have power: without a majority of the voting rights no practical ability to direct unilaterally is conceivable, even if the other holders are widely dispersed.

Cèdre has power: a percentage of 40% is the threshold from which the practical ability to direct unilaterally is established for any investor.

Cèdre must wait for a concerted vote of the other holders before concluding: experience of a joint vote is needed to assess the practical ability to direct.