Differential voting rights: issuance allowed subject to profitability, compliance, Articles authorization, shareholder approval and disclosure. A company limited by shares may issue differential voting rights shares only if it satisfies statutory eligibility including distributable profits and timely filings, has no defaults or relevant convictions, the Articles authorise such issuance, and shareholders approve the issue (postal ballot for listed public companies). The meeting notice must explain voting rate and proportional variation, prohibit conversion between voting and differential voting equity, limit differential voting shares to 25% of issued capital, and confirm entitlement to bonus and rights shares and other rights except the specified voting rights.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Differential voting rights: issuance allowed subject to profitability, compliance, Articles authorization, shareholder approval and disclosure.
A company limited by shares may issue differential voting rights shares only if it satisfies statutory eligibility including distributable profits and timely filings, has no defaults or relevant convictions, the Articles authorise such issuance, and shareholders approve the issue (postal ballot for listed public companies). The meeting notice must explain voting rate and proportional variation, prohibit conversion between voting and differential voting equity, limit differential voting shares to 25% of issued capital, and confirm entitlement to bonus and rights shares and other rights except the specified voting rights.
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