• A minority interest, also known as a minority interest, is an ownership position in which a shareholder owns less than 50% of the outstanding shares.
  • As a result, minority shareholders do not have individual control over corporate decisions or votes.
  • Direct non-controlling interest receives a pro-rata distribution of all (pre- and post-acquisition amounts) registered capital of the subsidiary.
  • Indirect non-controlling interest receives proportional distribution only of the post-acquisition amounts of the subsidiary.
  • The opposite of a non-controlling interest is a controlling interest, in which the shareholder has the right to vote in making a corporate decision.