Companies Act 1967 · s 78A

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—(1) A company may reduce its share capital under the provisions of this Division in any way and, in particular, do all or any of the following:(a)extinguish or reduce the liability on any of its shares in respect of share capital not paid up;(b)cancel any paid‑up share capital which is lost or unrepresented by available assets;(c)return to shareholders any paid‑up share capital which is more than it needs.(2) A company may not reduce its share capital in any way except by a procedure provided for it by the provisions of this Division.(3) A company’s constitution may exclude or restrict any power to reduce share capital conferred on the company by this Division.(4) In this Division —“reduction information”, in relation to a proposed reduction of share capital by a special resolution of a company, means the following information:(a)the amount of the company’s share capital that is thereby reduced;(b)the number of shares that are thereby cancelled;“resolution date”, in relation to a resolution, means the date when the resolution is passed.(5) This Division does not apply to an unlimited company, and does not preclude such a company from reducing in any way its share capital.(5A) This Division does not apply to any redemption of preference shares issued by a company under section 70(1) which results in a reduction in the company’s share capital.(6) This Division does not apply to the purchase or acquisition or proposed purchase or acquisition by a company of its own shares in accordance with sections 76B to 76G.
A company may reduce its share capital under the provisions of this Division in any way and, in particular, do all or any of the following:(a)extinguish or reduce the liability on any of its shares in respect of share capital not paid up;(b)cancel any paid‑up share capital which is lost or unrepresented by available assets;(c)return to shareholders any paid‑up share capital which is more than it needs.
A company may not reduce its share capital in any way except by a procedure provided for it by the provisions of this Division.
A company’s constitution may exclude or restrict any power to reduce share capital conferred on the company by this Division.
In this Division —
“reduction information”, in relation to a proposed reduction of share capital by a special resolution of a company, means the following information:(a)the amount of the company’s share capital that is thereby reduced;(b)the number of shares that are thereby cancelled;
“resolution date”, in relation to a resolution, means the date when the resolution is passed.
This Division does not apply to an unlimited company, and does not preclude such a company from reducing in any way its share capital.
This Division does not apply to any redemption of preference shares issued by a company under section 70(1) which results in a reduction in the company’s share capital.
This Division does not apply to the purchase or acquisition or proposed purchase or acquisition by a company of its own shares in accordance with sections 76B to 76G.

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s 78APreliminary

(1)

A company may reduce its share capital under the provisions of this Division in any way and, in particular, do all or any of the following:

(a)

extinguish or reduce the liability on any of its shares in respect of share capital not paid up;

(b)

cancel any paid‑up share capital which is lost or unrepresented by available assets;

(c)

return to shareholders any paid‑up share capital which is more than it needs.

(2)

A company may not reduce its share capital in any way except by a procedure provided for it by the provisions of this Division.

(3)

A company’s constitution may exclude or restrict any power to reduce share capital conferred on the company by this Division.

(4)

In this Division —

“reduction information”, in relation to a proposed reduction of share capital by a special resolution of a company, means the following information:

(a)

the amount of the company’s share capital that is thereby reduced;

(b)

the number of shares that are thereby cancelled;

“resolution date”, in relation to a resolution, means the date when the resolution is passed.

(5)

This Division does not apply to an unlimited company, and does not preclude such a company from reducing in any way its share capital.

(5A)

This Division does not apply to any redemption of preference shares issued by a company under section 70(1) which results in a reduction in the company’s share capital.

(6)

This Division does not apply to the purchase or acquisition or proposed purchase or acquisition by a company of its own shares in accordance with sections 76B to 76G.