560 Meaning of “equity securities” and related expressions
560 Meaning of “equity securities” and related expressions
Companies Act 2006 | Legislation

(1)     In this Chapter—

“equity securities” means—

(a)     ordinary shares in the company, or

(b)     rights to subscribe for, or to convert securities into, ordinary shares in the company;

“ordinary shares” means shares other than shares that as respects dividends and capital carry a right to participate only up to a specified amount in a distribution.

[(2)     References in this Chapter to the allotment of equity securities—

(a)     include the grant of a right to subscribe for, or to convert any securities into, ordinary shares in the company, and

(b)     do not include the allotment of shares pursuant to such a right.

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