EFFECT OF BUYBACK AND POST BUYBACK REQUIREMENTS

• The shares bought back will usually be treated as cancelled and the amount of the company's issued share capital is reduced.
• Stamp duty is payable on the transfer where the consideration exceeds £1,000.
• There are various Companies House filing requirements.
• The company's registers will have to be updated.
• A copy of the share buyback contract must be kept available for inspection by shareholders (at the registered office or some other place notified to Companies House as an alternative inspection location) for a period of 10 years beginning with the date of purchase.
• The accounts for the period in which the shares were bought back must include appropriate disclosures relating to the buyback.

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