(1)The Secretary of State may at any time—
(a)subscribe for or acquire ordinary voting shares in the successor company; or
(b)take up or acquire securities of the successor company which are convertible into or carry rights to subscribe for ordinary voting shares; or
(c)acquire rights to subscribe for any such shares; or
(d)direct any person acting as his nominee for the purposes of section 4 of this Act to take the action mentioned in paragraph (a), (b) or (c) above in relation to such shares, securities or rights so mentioned as he may direct.
[F1(1A)The Treasury may at any time take, or direct any person acting as their nominee to take, any such action as is mentioned in subsection (1)(a), (b) or (c) above.]
(2)In subsection (1) above “” means shares in the company which—
(a)carry voting rights at general meetings of the company; and
(b)carry a right to participate in any distribution (whether of dividends or of capital) without limit as to amount (but the right to participate in distributions need not extend to a dividend declared out of profits earned during any period falling wholly or partly before the date of acquisition of the shares).
(3)Any nominee of [F2the Treasury or] the Secretary of State who acquires any shares or other securities or rights by virtue of this section shall hold and deal with them (or any of them) on such terms and in such manner [F3as the Treasury or, as the case may be, the Secretary of State may direct.]
(4)Any shares, securities or rights acquired by virtue of this section shall be paid for out of moneys provided by Parliament; and any dividends or other sums received by [F4the Treasury or] the Secretary of State in right of, or on the disposal of, any such shares, securities or rights shall be paid into the Consolidated Fund.
(5)The Secretary of State may not acquire any shares, securities or rights by virtue of this section or dispose of any shares, securities or rights so acquired, or give any directions for the purposes of this section, without the consent of the Treasury.
Textual Amendments
F1S. 6(1A) inserted by S.I. 1988/1984, art. 3(3), Sch. para. 1(2)
F2Words inserted by S.I. 1988/1984, art. 3(3), Sch. para. 1(3)
F3Words substituted by S.I. 1988/1984, art. 3(3), Sch. para. 1(3)
F4Words inserted by S.I. 1988/1984, art. 3(3), Sch. para. 1(4)
Modifications etc. (not altering text)
C1By S.I. 1988/1984, arts. 2, 3 certain functions of the Secretary of State are transferred to the Treasury so as to be exercisable concurrently with the Secretary of State