(1)Where the directors of a company are generally authorised for the purposes of section 551 (power of directors to allot shares etc: authorisation by company), they may be given power by the articles, or by a special resolution of the company, to allot equity securities pursuant to that authorisation as if section 561 (existing shareholders' right of pre-emption)—
(a)did not apply to the allotment, or
(b)applied to the allotment with such modifications as the directors may determine.
(2)Where the directors make an allotment under this section, the provisions of this Chapter have effect accordingly.
(3)The power conferred by this section ceases to have effect when the authorisation to which it relates—
(a)is revoked, or
(b)would (if not renewed) expire.
But if the authorisation is renewed the power may also be renewed, for a period not longer than that for which the authorisation is renewed, by a special resolution of the company.
(4)Notwithstanding that the power conferred by this section has expired, the directors may allot equity securities in pursuance of an offer or agreement previously made by the company if the power enabled the company to make an offer or agreement that would or might require equity securities to be allotted after it expired.