Companies Act

521. Terms and manner of redemption

Edition: 2024-12-27 · In force

521. Terms and manner of redemption

(1)The directors of a limited company may determine the terms, conditions and manner of redemption of shares if they are authorised to do so—

(a)by the company's articles; or

(b)by a resolution of the company.

(2)A resolution under subsection (1)(b) may be an ordinary resolution, even if it amends the company’s articles.

(3)If the directors are authorised under subsection (1) to determine the terms, conditions and manner of redemption of shares—

(a)the directors shall do so before the shares are allotted; and

(b)any obligation of the company to state in a statement of capital the rights attached to the shares extends to the terms, conditions and manner of redemption.

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Source: Kenya Law