Eignarhlutar

Eignarhlutar are ownership interests in a company, representing claims on a portion of the company's equity and profits. In Icelandic corporate terminology, an eignarhlutur is typically evidenced by a share in a limited liability company or by equity interests in a joint-stock company. Ownership stakes are expressed as a percentage of the company’s share capital.

Holders of eignarhlutar have rights proportional to their stake, including rights to dividends and to a share of residual assets on dissolution. In many cases, ownership also confers governance influence, such as voting rights at general meetings. Share classes can create different rights, with some classes offering reduced or prioritized voting rights or preferred dividends. Transfer of eignarhlutar is subject to the company’s rules and applicable law, and may be restricted by articles of association or shareholder agreements. Changes in ownership affect both economic rights and, potentially, control of the company.

Valuation of eignarhlutar depends on the company’s market value and the demand for its shares. Public companies have prices set on a stock exchange, while private companies rely on negotiated valuations based on earnings, assets, cash flow, or comparable transactions.

Accounting and reporting: On the balance sheet, eignarhlutar are part of equity, including items such as share capital, share premium, and retained earnings. Changes in ownership, such as new issues or buybacks, alter the equity section and can influence control dynamics.

Examples illustrate common cases: a founder owning a substantial percentage, an investor acquiring a minority or majority stake, or a venture capital fund participating in a financing round to achieve a specific ownership level.