Section 686: Payment for redeemable shares

Companies Act 2006 · 2006 c. 46View on legislation.gov.uk

Part 18: Acquisition by limited company of its own shares — Chapter 3: Redeemable shares

Redeemable shares in a limited company may not be redeemed unless they are fully paid.

The terms of redemption of shares in a limited company may provide that the amount payable on redemption may, by agreement between the company and the holder of the shares, be paid on a date later than the redemption date.

Unless redeemed in accordance with a provision authorised by subsection (2), the shares must be paid for on redemption.

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Reuse reviewed 21 August 2026 under Open Government Licence v3.0.