Minority shareholder
A shareholder holding less than 50 percent of a company’s share capital or voting rights. French law grants statutory protections — information rights, proportional dividend rights, protection against majority abuse — but minority shareholders have limited decision-making power.
In practice
In a French SAS, minority shareholder rights are primarily contractual. The shareholders' agreement is the critical document: it can provide tag-along rights (exiting on the same terms as the majority), veto rights on specific decisions, anti-dilution mechanisms, and liquidity clauses at a defined horizon. An institutional investor entering the capital without a negotiated shareholders' agreement is in a highly exposed position.