C1Part 18Acquisition by limited company of its own shares
Annotations:
Modifications etc. (not altering text)
Chapter 5Redemption or purchase by private company out of capital
The permissible capital payment
710The permissible capital payment
1
The payment that may, in accordance with this Chapter, be made by a company out of capital in respect of the redemption or purchase of its own shares is such amount as, after applying for that purpose—
a
any available profits of the company, and
b
the proceeds of any fresh issue of shares made for the purposes of the redemption or purchase,
is required to meet the price of redemption or purchase.
2
That is referred to below in this Chapter as “the permissible capital payment” for the shares.
Pts. 1-39 (except for Pt. 7 and ss. 662-669), 45-47 extended (12.5.2011) by The Companies Act 2006 (Consequential Amendments and Transitional Provisions) Order 2011 (S.I. 2011/1265), art. 5(1), Sch. 1 para. 2