Given two companies, total assets of $100 million each.

  • Company 'A' owns \$50M of company 'B'.

  • Company 'B' owns \$50M of company 'A'.

If you look at the value of both companies do you get \$200M or \$100M in value?

Is there any effect of this in the stock market where there is lots of circular ownership?

  • $\begingroup$ Does the \$100 million of assets include the stock in the other company? $\endgroup$
    – Brythan
    Sep 10 '18 at 6:46