Whether the section is applicable to subscriber to memorandum of association

Subscription to memorandum: company subscriptions count as taking shares and can trigger statutory registration restrictions.

Subscription by an existing company (directly or through nominees) to shares set opposite signatories' names in a new company's memorandum constitutes a direct subscription for unissued shares and renders those signatories immediate members. If such agreed subscriptions exceed the percentage limits in section 372, the subscribing company must satisfy the procedural requirements of section 372(4) before the new company can be registered. For the 25 percent subscribed capital threshold, use the total number of shares agreed to be taken by all memorandum signatories as the subscribed capital.