equity alliance

An equity alliance is a business partnership where two or more companies invest in each other by acquiring ownership stakes, such as shares, to collaborate more closely. This arrangement allows them to share resources, technology, or expertise, often improving mutual competitiveness without fully merging. Unlike a joint venture, which creates a new separate entity, an equity alliance maintains each company's independence while fostering strategic cooperation. It's a way for companies to leverage each other's strengths and enter new markets with reduced risk.