C1Part 18Acquisition by limited company of its own shares

Annotations:
Modifications etc. (not altering text)

Chapter 4Purchase of own shares

Supplementary provisions

706Treatment of shares purchased

Where a limited company makes a purchase of its own shares in accordance with this Chapter, then—

a

if section 724 (treasury shares) applies, the shares may be held and dealt with in accordance with Chapter 6;

b

if that section does not apply—

i

the shares are treated as cancelled, and

ii

the amount of the company's issued share capital is diminished accordingly by the nominal value of the shares cancelled.