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This question already has an answer here:

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?

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marked as duplicate by Giskard, Herr K., Maarten Punt, Theoretical Economist, Kitsune Cavalry Sep 15 '18 at 23:08

This question has been asked before and already has an answer. If those answers do not fully address your question, please ask a new question.

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