Statutory safeguard - non-accepting shareholders, Business Law and Ethics

Statutory safeguard - Non-accepting shareholders:

The non-accepting shareholders have a further statutory safeguard.  Company A is not obliged to serve notice of intention to acquire their shares.  But as soon as Company A's total ownership of shares in Company B reaches 90 per cent (or 90 per cent of a class) it must within one month give notice of that fact to the holders of the outstanding shares.  Those shareholders may then within the ensuing three months require Company A to acquire their shares on the same terms as have been accepted by the approving shareholders.  By this means the shareholders who at first did not accept the offer for their shares may accept it in order to escape from the unsatisfactory position or remaining as a very small minority of members in a company (B) dominated by a single shareholder(A): CA, s.210(2).

Posted Date: 1/15/2013 4:23:23 AM | Location : United States







Related Discussions:- Statutory safeguard - non-accepting shareholders, Assignment Help, Ask Question on Statutory safeguard - non-accepting shareholders, Get Answer, Expert's Help, Statutory safeguard - non-accepting shareholders Discussions

Write discussion on Statutory safeguard - non-accepting shareholders
Your posts are moderated
Related Questions
Suppose your employer wanted to include a restraint of trade clause in your employment agreement. Prepare and set out an instance of this clause that would be applicable to you in

Question 1: (a) Who is a director of a company and describe how he may be appointed. (b) What are the duties owed by directors under the Companies Act 2001? Question 2

Terms used in Contract However there are certain terms may identify conditions and warranties like are implied into every contract covered through the Sale of Goods Act where

Hire-Purchase Law A person who wants to buy goods through does not have the like "money consideration" prescribed through the Sale of Goods Act like their price may enter in a

QUESTION 1 Write in detail on the following (a) Agency shop orders and (b) Decrease from the remuneration of a worker for the employer's benefit QUESTION 2 An indust

Subrogation - Void Contracts       However in Re National Permanent Benefit Building Society would the court stated that where an infant obtains a loan for necessaries and real

Illegality - Law of Contract Therefore an agreement to constitute a legally enforceable contract then it must have been entered into to a lawful purpose.  But an agreement to

Indicators of phoenix activity Stakeholders noted that there are a range of 'signals' or 'indicators' that phoenix activity may be about to occur. These generally occur before t

Question: Consider the following formulation of Kant's Categorical Imperative: ‘Act only to that maxim by which you can at the same time will that it should become a universal

What are the ways of aggregate demand policy To illustrate some of the issues involved in policy coordination we will focus on monetary policy. We discuss three ways in which