Private equity funds can hold it on their behalf. As long as the signed agreement does not violate the law, it is legal for private equity funds to hold it. The so-called "share holding agreement" means that shareholders register their shares in the administrative department for industry and commerce in the name of other shareholders, and at the same time sign an agreement with nominal shareholders to confirm that the actual holders of shares are unregistered shareholders. This phenomenon is called shareholding agreement, and the share confirmation agreement between the two parties is the "shareholding agreement". At present, the company's laws and regulations have no clear provisions on shareholding. At the beginning, the phenomenon of holding the company's shares on behalf of the company was mainly to break through the limit of no more than 50 shareholders in the company law and help employees own the company's shares, so the "employee stock ownership meeting" was adopted, but the law did not clearly stipulate this.

Legal basis:

Paragraph 2 of Article 24 of the Supreme People's Court's Provisions on Several Issues Concerning the Application of the Company Law of People's Republic of China (PRC) (III) (revised on 20 14) stipulates that if there is a dispute between the actual investor and the nominal shareholder on the ownership of the capital contribution right, the people's court shall support the actual investor's claim against the nominal shareholder on the grounds of actually fulfilling the capital contribution obligation. If a nominal shareholder denies the rights of the actual investor on the grounds that the register of shareholders of the company has been recorded and registered by the company registration authority, the people's court will not support it.

Without the consent of more than half of the other shareholders of the company, if the actual investor requests the company to change its shareholders, issue a capital contribution certificate, record it in the register of shareholders, record it in the articles of association and register it with the company registration authority, the people's court will not support it.