Definition for : Dilution profit

Where a Parent company does not subscribe, either at all or only partially, to a Capital increase by one of its subsidiaries that takes place above the Subsidiary's Book value, the Parent company records a dilution Profit. This is a non-cash Profit.
(See Chapter 7 How to cope with the most complex points in financial accounts of the Vernimmen)
To know more about it, look at what we have already written on this subject