(1) In this section the expressions "superior company" and "lower company" are used solely to assist the understanding of its terms and -

(a) are not indicative of the status (in any manner not relevant to this section) of the respective companies vis a vis one another; and

(b) do not constitute definitions to which regard must be had for any other purpose of this Act.

(2) For the purposes of this Act, a company (the "lower company") is, subject to subsection (5), a subsidiary of another (the "superior company") if, but only if -

(a) the superior company -

(i) is a shareholder or member of it and controls the composition of its board of directors; or

(ii) holds more than half in nominal value of its equity share capital; or

(iii) holds more than half in nominal value of its shares carrying voting rights (other than voting rights which arise only in specified circumstances); or