| Commentary

140 Exceptions and exclusions

| Commentary

140 Exceptions and exclusions

The pre-emption provisions do not apply in three circumstances, namely, where there is:

  1. 140.1

        an allotment of bonus shares1;

  2. 140.2

        a particular allotment of equity securities and these are, or are to be, wholly or partly paid up otherwise than in cash2; or

  3. 140.3

        an allotment of equity securities that would, apart from any renunciation or assignment of the right to their allotment, be held under or allotted or transferred pursuant to an employees’ share scheme3.

A private company can exclude the statutory pre-emption requirements by a provision in its

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