Entity X has two major shareholders: Entities A and B hold 40% of the voting rights each. The remaining 20% belongs to widely dispersed individual shareholders that generally do not participate in shareholdersβ meetings. Articles of association of Entity X state that relevant activities of Entity X are directed by at least 75% of the voting rights. There are no contractual arrangement between Entities A and B.
Entities A and B have joint control over Entity X as this implicitly results from the articles of association of Entity X because decisions about the relevant activities cannot be made without those entities agreeing.