This work aims to identify the reasons why a medium sized personal or family firm, implementing an external growth strategy, decide to create a holding company. It is based on an empirical study concerning 147 non-quoted French firms. Two types of holdings are distinguished "family holdings" and "buy-out holdings". This research highlights that, for these firms, the external growth mode of development should not to be neglected since the holding company makes it possible to reconcile the preferences of the coalition with the constraints of such a strategy.
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Find related papers by JEL classification: G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Capital and Ownership Structure