Shareholders
If a PLC’s net assets fall below half its share capital, directors must convene an extraordinary general meeting to address the issue, with non-compliance constituting an offence. Financial assistance for purchasing its own shares is restricted, though certain exemptions apply. Financial statements must be audited and may be summarised for members, subject to strict standards ensuring accuracy and consistency with statutory reports. Audit committees and corporate governance statements are required for traded PLCs.
Share transfers may be regulated under Ministerial rules to allow dematerialisation, aligning with EU directives for electronic securities by 2023. PLCs must maintain various registers, including those for members, directors, and debenture holders. The dematerialisation process and compliance requirements safeguard transparency and investor rights in securities transactions.
Read a detailed Article on this subject with the Legislation and Cases, browse Irish Legal Guide or Contact Us for advice below.