Can the company's shares be held by the company?

Legal analysis: A joint stock limited company can hold its own shares under legal circumstances. According to the company law, companies are generally prohibited from holding their own shares, especially limited liability companies, except under statutory circumstances (such as capital reduction, equity incentive, merger with other companies holding shares of the company, etc.). Although the company can obtain its own shares according to law, it cannot enjoy the right to vote according to the shares it holds, and the shares it holds shall not be distributed in profits.

Legal basis: Article 142 of the Company Law of People's Republic of China (PRC), a company may not purchase its shares. However, except for one of the following circumstances: (1) reducing the registered capital of the company; (2) Merging with other companies holding shares of the Company; (3) Using shares for employee stock ownership plan or equity incentive; (4) Shareholders request the company to purchase their shares because they disagree with the resolution of merger or division made by the shareholders' meeting; (5) Using shares for the conversion of corporate bonds convertible into shares by listed companies. (6) The need for listed companies to safeguard their own values and shareholders' rights and interests.