Tag Archives | share

Shareholders’ Agreement Launched

Shareholders' Agreement to be consistent with the Companies Act and a company's Memorandum of Incorporation  A Shareholders' Agreement is a private document that deals with all the issues relating to the shareholders of a company. Section 15(7) of the Companies Act, Act 71 of 2008, as amended, states that: Shareholders may enter into any matter [...]

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How Transferable are Private Company Shares?

Transferability of shares, pre-emptive rights and s39 The general rule is that shareholders have the right to deal freely with their shares. In terms of section 8(2)(b), a private company's MOI must prohibit the company from offering any of its securities to the public and restricts the transferability of its securities. In other words, in [...]

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