3(1)This paragraph applies if—U.K.
(a)assets are transferred to a company under a transfer scheme,
(b)in consequence the Secretary of State gives a direction under section 49 above, and
(c)the company issues securities in accordance with the direction.
(2)For the purposes of the 1992 Act the person to whom the securities are issued is to be treated as acquiring them for a consideration—
(a)provided by him wholly and exclusively for the securities, and
(b)equal to the market value of the assets transferred to the company under the scheme.
(3)This paragraph applies whether or not the person to whom the securities are issued is the person transferring the assets under the scheme.
(4)Expressions used in this paragraph and in the 1992 Act have the same meanings in this paragraph as in that Act.
Commencement Information
I1Sch. 7 paras. 1-20 wholly in force at 1.2.2001, see s. 275(1) and S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to the transitional provision and saving in Sch. 2 Pt. II)