Q&As

Will a redesignation of shares constitute a variation of class rights?

read titleRead full title
Produced in partnership with Julian Henwood of Gowling WLG
Published on LexisPSL on 08/05/2017

The following Corporate Q&A produced in partnership with Julian Henwood of Gowling WLG provides comprehensive and up to date legal information covering:

  • Will a redesignation of shares constitute a variation of class rights?

Will a redesignation of shares constitute a variation of class rights?

A redesignation of shares involves a change in the name of some or all of a class of shares that a company has in issue, without any change being made to the number or nominal value of those shares or any change in the class rights attaching to them (see Q&A: What is the process for a redesignation of shares?).

A simple redesignation of shares in that strict sense will not constitute a variation of class rights. However, if the redesignation of shares is happening in conjunction with changes to the rights attaching to those shares or a conversion of shares from one class to another, there may be a variation of class rights. Therefore, each

Related documents:

Popular documents