Part 18Acquisition by limited company of its own shares
Chapter 5Redemption or purchase by private company out of capital
Requirements for payment out of capital
716Payment to be approved by special resolution
(1)
The payment out of capital must be approved by a special resolution of the company.
(2)
The resolution must be passed on, or within the week immediately following, the date on which the directors make the statement required by section 714.
(3)
A resolution under this section is subject to—
section 717 (exercise of voting rights), and
section 718 (disclosure of directors' statement and auditors' report).