Buy back..

A company cannot buy-back its -
1) shares

2) Other specified securities, directly or indirectly

a) Through any subsidiary company including its own subsidiaries; or

b) Through investment or group of investment companies;




what does it mean by through those companies
Replies (2)
Quick Summary
This discussion clarifies the rules surrounding company share buy-backs. It explains that a company cannot directly or indirectly repurchase its own shares or other specified securities through subsidiaries or investment companies. The core concept revolves around the rights of the holder of the company's shares until maturity, and it highlights that embedded options must grant the issuer, not a superannuation fund, the right to buy back shares.

it’s a simple concept in financial instruments, the person holding the company shares is exercising his rights until maturity, business model test. The options embedded must give the super the right to buy back shares which is not possible.

***issuer, not super

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