Part 18

Acquisition by limited company of its own shares
Chapter 4

Purchase of own shares

Supplementary provisions

Treatment of shares purchased
706
Where a limited company makes a purchase of its own shares in accordance with this Chapter, then—
a
if section 724 (treasury shares) applies, the shares may be held and dealt with in accordance with Chapter 6;
b
if that section does not apply—
i
the shares are treated as cancelled, and
ii
the amount of the company's issued share capital is diminished accordingly by the nominal value of the shares cancelled.
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
Pts. 1-39 modified (31.12.2020) by Regulation (EC) No. 2157/2001, Art. AAA1(3) (as inserted by The European Public Limited-Liability Company (Amendment etc.) (EU Exit) Regulations 2018 (S.I. 2018/1298), regs. 1, 97 (with regs. 140-145) (as amended by S.I. 2020/523, regs. 1(2), 5(a)-(f)); 2020 c. 1, Sch. 5 para. 1(1))