C1Part 17A company's share capital

Annotations:
Modifications etc. (not altering text)

Chapter 8Alteration of share capital

Reconversion of stock into shares

620Reconversion of stock into shares

1

A limited company that has converted paid-up shares into stock (before the repeal by this Act of the power to do so) may reconvert that stock into paid-up shares of any nominal value.

2

A company may exercise the power conferred by this section only if its members have passed an ordinary resolution authorising it to do so.

3

A resolution under subsection (2) may authorise a company to exercise the power conferred by this section—

a

on more than one occasion;

b

at a specified time or in specified circumstances.

I1621Notice to registrar of reconversion of stock into shares

1

If a company exercises a power conferred by section 620 (reconversion of stock into shares) it must within one month after doing so give notice to the registrar, specifying the stock affected.

2

The notice must be accompanied by a statement of capital.

3

The statement of capital must state with respect to the company's share capital immediately following the exercise of the power—

a

the total number of shares of the company,

b

the aggregate nominal value of those shares,

c

for each class of shares—

i

prescribed particulars of the rights attached to the shares,

ii

the total number of shares of that class, and

iii

the aggregate nominal value of shares of that class, and

d

the amount paid up and the amount (if any) unpaid on each share (whether on account of the nominal value of the share or by way of premium).

4

If default is made in complying with this section, an offence is committed by—

a

the company, and

b

every officer of the company who is in default.

5

A person guilty of an offence under this section is liable on summary conviction to a fine not exceeding level 3 on the standard scale and, for continued contravention, a daily default fine not exceeding one-tenth of level 3 on the standard scale.