83,357
edits
Section 793 notice: Difference between revisions
no edit summary
Amwelladmin (talk | contribs) (Created page with "{{anat|pb}}A section 792 notice is issued under section 793 Companies Act 2006, a provision which permits a public company to require anyone wh...") |
Amwelladmin (talk | contribs) No edit summary |
||
| (6 intermediate revisions by the same user not shown) | |||
| Line 1: | Line 1: | ||
{{ | {{a|pb|}}A [[section 793 notice]] is issued under the [[Companies Act 2006 (UK)|Companies Act 2006]], a provision which permits a public company to require anyone who might be “interested” in its shares to answer written questions about the nature of their interests. They are often sent to [[custodian]]s — especially those like [[prime broker]]s whose clients include activist shareholders like [[hedge fund]]s. | ||
Companies may use section 793 notices to track possible stake-buildings exercise or takeover activity, but also to explain unexpected share movement or simply as routine house keeping of their register. | Companies may use section 793 notices to track possible stake-buildings exercise or takeover activity, but also to explain unexpected share movement or simply as routine house keeping of their register. | ||
| Line 5: | Line 5: | ||
An “interest” under the act includes those held by spouses, trusts, [[Espievie|offshore vehicles]], [[nominee]]s and coordinated arrangements between apparently unconnected individuals acting in concert and so on. Basically it is meant to get around any sneaky subterfuge and creative use of the [[corporate veil]]. | An “interest” under the act includes those held by spouses, trusts, [[Espievie|offshore vehicles]], [[nominee]]s and coordinated arrangements between apparently unconnected individuals acting in concert and so on. Basically it is meant to get around any sneaky subterfuge and creative use of the [[corporate veil]]. | ||
If you | If you don’t respond to a [[s793 notice]] the company can “block” the shares you hold, preventing any underlying shareholder from voting or transferring its interests, until the answers are provided. | ||