Part 14

Change in company ownership
Chapter 7

Meaning of “change in the ownership of a company”

Meaning of “change in the ownership of a company”

When things other than ordinary share capital may be taken into account: Chapters 2 to 5
721
1
This section applies for the purposes of Chapters 2 to 5 if conditions A and B are met.
2
Condition A is that persons (whether company members or not) possess extraordinary rights or powers under any document regulating a company.
3
Condition B is that because of that fact ownership of the ordinary share capital may not be an appropriate test of whether there has been a major change in the persons for whose benefit the relief may ultimately enure.
4
In determining whether there has been a change in the ownership of the company for the purposes of Chapter 2, 3, 4 or 5, any of the following may be taken into account instead of ordinary share capital—
a
holdings of all kinds of share capital,
b
holdings of any particular kind of share capital,
c
voting power, and
d
any other kind of special power.