Ms Patty has been appointed as the new managing director of Catty Nips Pty Ltd in July. Catty Nips has two major shareholders, Ms Patty who holds 60% of the shares and Ms Posy who owns 40% of the shares. Ms Posy doesn’t have much experience with companies and inherited her shares from her brother. Ms Posy and Ms Patty don’t get along very well. Ms Patty wants to take the company public and Ms Posy doesn’t. Ms Patty is also keen to expand the company and open two more catteries under two subsidiary companies. Ms Posy doesn’t want to expand and believes it is too risky in the current economy. Ms Patty says that they will be protected from liability if they use subsidiaries.

Please advise Ms Patty on the process of taking the company public. Will she be able to do so without Ms Posy’s consent?

Answer rating: 100% (QA)

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