256A
In forcePurpose
Volume 1Chapter 1, Part 1.1 to Chapter 2J, Part 2J.4 sections 1 to 260E
Chapter 2JTransactions affecting share capital
Part 2J.1Share capital reductions and share buy‑backs
256A Purpose
This Part states the rules to be followed by a company for reductions in share capital and for share buy‑backs. The rules are designed to protect the interests of shareholders and creditors by:
(a)
addressing the risk of these transactions leading to the company’s insolvency
(b)
seeking to ensure fairness between the company’s shareholders
(c)
requiring the company to disclose all material information.
This Act’s bill:Explanatory memorandumSecond reading speech
Research tools for this sectionSubscription
The statute text is free to read above. View subscription options to unlock the case-law research tools for each provision.