Introduction Equity holders Overview Section 160: Meaning of “ordinary shares”
636.This section defines “ordinary shares” by excluding restricted preference shares from the holdings that are to be considered for the purposes of this Chapter. It is based on paragraph 1 of Schedule 18 to ICTA.
637.Subsection (2) introduces the five conditions that have to be met if the shares are to be excluded as restricted preference shares.
638.Subsection (3) is the first condition. There must be new consideration. “New consideration” is defined in section 157(2) by reference to section 1115.
639.Subsections (4) to (7) set out the other conditions.