Companies Act 2006

Reconversion of stock into sharesU.K.

620Reconversion of stock into sharesU.K.

(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.

621Notice to registrar of reconversion of stock into sharesU.K.

(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,

[F1(ba)the aggregate amount (if any) unpaid on those shares (whether on account of their nominal value or by way of premium), and]

(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, F2...

F2(d). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(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.

Textual Amendments

Commencement Information

I1S. 621 wholly in force at 1.10.2009; s. 621 not in force at Royal Assent, see s. 1300; s. 621 in force for specified purposes at 20.1.2007 by S.I. 2006/3428, art. 3(3) (subject to art. 5, Sch. 1 and with arts. 6, 8, Sch. 5); s. 621 otherwise in force at 1.10.2009 by S.I. 2008/2860, art. 3(k) (with arts. 5, 7, 8, Sch. 2) (as amended by S.I. 2009/1802, art. 18)