Companies Act 2014 section 1288

Re-registration upon reduction of company capital of a PLC

Section 1288 deals with the court-authorised re-registration of a PLC as another type of company when a capital reduction brings its allotted share capital below the authorised minimum.

• Where a court-approved capital reduction brings a PLC's allotted share capital below the authorised minimum, the court may authorise re-registration as another company type without a special resolution
• The court order must specify what changes are to be made to the PLC's constitution as part of the re-registration
• The court order effectively replaces the special resolution that would normally be required under the standard re-registration procedures
• Certain procedural requirements that normally apply to re-registration are disapplied, depending on whether the PLC re-registers as a private company limited by shares or as a designated activity company

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