This section applies where—
an ordinary share ("the original share") is subscribed for by a qualifying person ("the investor");
the conditions in section 169VB(2)(c) and (d) are met in relation to the original share,
the share is involved in an exchange of shares treated under section 169VQ or 169VR as a reorganisation of share capital, and accordingly is included in the original shares within the meaning of section 169VN(6), and
subsequently there is a disposal of all or part of a holding of shares that in relation to that exchange is a new holding within the meaning given by section 169VN(2).
As respects a share which is in that holding immediately before that disposal, the conditions in section 169VB(2)(f) and (g) are to be regarded as met if (and only if)—
in relation to the period beginning with the issue of the original share and ending with the exchange of shares, those conditions were met by the original share, and
in relation to the period beginning with the exchange of shares and ending with the disposal, those conditions were met by a share representing the original share.
Accordingly—
in section 169VB(2)(f) and (g) as they apply to the original share, any reference to the share-holding period is to be read as to the period mentioned in subsection (2)(a) above, and
in section 169VB(2)(f) and (g) as they apply to a share representing the original share, any reference to the share-holding period is to be read as to the period mentioned in subsection (2)(b) above.
In subsection (1)(c) "the share" includes a share that, following a reorganisation or following an exchange of shares in relation to which section 169VQ or 169VR applies, represents the original share, and subsections (2) and (3) apply in such a case with the necessary modifications.