Can foreigners owned shares & what is the maximum shareholding allowed in a local private company & the minimum share capital in a foreign owned company?
There is no restriction on maximum shareholding i.e. foreigners can own 100% of a company. If they own more than 30% of any company, they will be required to apply for Foreign Investment Committee approval, the process of which takes more than 6 months but approval is normally given. Normally, small businesses will not apply for any FIC approval unless there is business with the government departments. If the company intends to transact with government departments which will require licensing, the minimum local “bumiputra” (ethnic Malay) participation must be 30% and above. The minimum share capital is the same as any other local company which is RM2.
Related Questions
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- Are foreigners allowed to have majority shareholding or 100 percent ownership of a company?
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