ETRADE Australia Limited (Application of) [1999] NSWSC 254

ETRADE Australia Limited (Application of) [1999] NSWSC 254

The proposed capital reduction is an 'equal reduction' under s256B(2) as it applies identically to all ordinary shareholders; the court may make orders to convene meetings for approval of the scheme and reduction.

Jurisdiction
Australia
Judgment Date
22 March 1999
Procedural Posture
Scheme of Arrangement Application / Application to Convene Meeting
Outcome
Orders made to convene meeting
Legal Topics
['scheme of Arrangement' 'reduction of Capital' 'shareholder Voting']
['corporations Law' 'equity'] ['scheme of Arrangement' 'reduction of Capital' 'shareholder Voting']

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Procedural Posture

Scheme of Arrangement Application / Application to Convene Meeting

Legal Issues

  1. 1 ["Whether the proposed scheme and capital reduction constitutes an 'equal reduction' under ss256B and C of the Corporations Law" 'Distinction between scheme of arrangement and reduction of capital post-1998 amendments' 'Voting requirements for selective versus equal reductions under the Corporations Law']

Ratio Decidendi

The proposed capital reduction is an 'equal reduction' under s256B(2) as it applies identically to all ordinary shareholders; the court may make orders to convene meetings for approval of the scheme and reduction.

Court Disposition

Orders made to convene meeting

Orders

  • ['Order to convene meeting of shareholders to consider the scheme of arrangement and associated reduction of capital']