Meaning & use

majority stake

noun·Academicbusinessfinance

Last updated

UK/məˈdʒɒrəti steɪk/
US/məˈdʒɔːrəti steɪk/

Meaning

  1. nouncountablebusiness

    Ownership of more than half of a company's shares, which gives the holder control over major decisions.

    Grammar: Usually takes a: she bought a majority stake in the firm; the preposition is in.

    Patterns

    • a majority stake in something
    • hold a majority stake

    The investor bought a majority stake in the airline.

    A majority stake lets the owner appoint most of the board.

    The founders kept a majority stake after the funding round.

Word forms

pluralmajority stakes

Common combinations

acquire a majority stake
A foreign group plans to acquire a majority stake in the bank.
hold a majority stake
The family still holds a majority stake in the brewery.
sell a majority stake
The founder agreed to sell a majority stake to a rival.
take a majority stake
The fund wants to take a majority stake in the start-up.
a majority stake in a company
He owns a majority stake in a small shipping company.

Synonyms and how they differ

controlling interest
Controlling interest is nearly the same, but it stresses the power to control, which can be held with less than half the shares.
majority holding
Majority holding is a more British and slightly more formal phrase for the same idea.
majority shareholding
Majority shareholding is the legal-sounding version and is common in contracts and reports.

Opposites

minority stake

Word family

majority noun
the larger part of a group
stake noun
a share or financial interest in something
stakeholder noun
a person with an interest in a business
majority shareholder noun
an owner of more than half the shares

Commonly confused: majority stake or steak?

majority stake vs steak

Steak is a cut of meat; it sounds the same as stake but has an unrelated meaning.

Practice

After buying 60 percent of the shares, the investor held a ___ in the company.

Make it your own

Write a sentence using “majority stake”, then check it and compare it with the examples above.

Your sentence stays on this page and is not sent anywhere.

Explore more words