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Part 18E+W+S+N.I.Acquisition by limited company of its own shares

Annotations:

Modifications etc. (not altering text)

Chapter 1E+W+S+N.I.General provisions

IntroductoryE+W+S+N.I.

659Exceptions to general ruleE+W+S+N.I.

(1)A limited company may acquire any of its own fully paid shares otherwise than for valuable consideration.

(2)Section 658 does not prohibit—

(a)the acquisition of shares in a reduction of capital duly made;

(b)the purchase of shares in pursuance of an order of the court under—

(i)section 98 (application to court to cancel resolution for re-registration as a private company),

(ii)section 721(6) (powers of court on objection to redemption or purchase of shares out of capital),

(iii)section 759 (remedial order in case of breach of prohibition of public offers by private company), or

(iv)Part 30 (protection of members against unfair prejudice);

(c)the forfeiture of shares, or the acceptance of shares surrendered in lieu, in pursuance of the company's articles, for failure to pay any sum payable in respect of the shares.