The Articles of Association is a legal document that defines a company's regulations, governance, and the rights, duties, and responsibilities of its members (shareholders) and directors.
A type of preference share that entitles the owner to receive any dividends not paid in previous years, guaranteeing eventual payment before ordinary shares are addressed.
A legal action initiated by a shareholder on behalf of a corporation against a third party, often an executive or director of the corporation, due to the corporation's failure to enforce its rights. This remedy allows shareholders to address wrongs done to the corporation when the corporation itself fails to take action.
An indirect shareholder owns shares through an intermediary or another entity rather than holding shares directly under their own name. This often occurs in scenarios involving nominee shareholding, where the shares are held by a nominee on behalf of the actual investor.
A majority shareholder is an individual or entity that holds more than half of the outstanding shares of a corporation, thereby having significant influence and control over company decisions.
A contractual right allowing existing shareholders to purchase additional shares of a new issue of common stock before it is offered to the public, aiding in preemptive protection against dilution of ownership.
The Takeover Panel, also known historically as the City Code on Takeovers and Mergers, provides the regulatory framework dedicated to overseeing corporate acquisitions and mergers, ensuring fair treatment of shareholders and maintaining confidence in the UK financial markets.
Voting stock refers to shares in a corporation that entitle the shareholder to participate in voting on matters such as electing the board of directors, mergers, acquisitions, and other significant corporate policies.
