Part 18Acquisition by limited company of its own shares
Chapter 4Purchase of own shares
General provisions
691Payment for purchase of own shares
(1)
A limited company may not purchase its own shares unless they are fully paid.
(2)
Where a limited company purchases its own shares, the shares must be paid for on purchase.
F1(3)
But subsection (2) does not apply in a case where a private limited company is purchasing shares for the purposes of or pursuant to an employees' share scheme.