Authors : Daman Jeet, B S. Bhatia, R K. Sharma
DOI : 10.18231/2394-2770.2018.0040
Volume : 5
Issue : 3
Year : 0
Page No : 249-258
The study of pattern of ownership is inevitable in setting the milieu for corporate governance as barbed by theoretical and functional work on corporate governance. Present study identifies the ownership pattern of 154 index companies on Bombay Stock Exchange for six financial years (2011 to 2016). Analysis has been conducted separately for shareholding-wise and industry-wise ownership. This study intrigues largely the proportion of shareholding by promoters and non-promoters and the results demonstrate that Indian companies typically sustain their ownership pattern in due course. In India ownership is concentrated in the hands of promoters. On an average the promoters together with 'persons acting in concert' (promoter group) held around 53.73 percent of the total outstanding shares from 2011 to 2016. With this huge stakes it is cynical whether efforts at improving corporate governance would succeed as an observable fact of institutionalization of capital also exists. This growth of shareholding is expected to have an all-encompassing upshot on corporate governance.
Keywords: Corporate governance, Ownership structure, Ownership concentration, Shareholding pattern, Promoters, Non-promoters.