Corporations Act 2001

CHAPTER 2J - TRANSACTIONS AFFECTING SHARE CAPITAL  

Note: This Chapter is modified for CCIVs: see Division 2 of Part 8B.4 .

PART 2J.1 - SHARE CAPITAL REDUCTIONS AND SHARE BUY-BACKS  

Division 4 - Application of this Part to MCI mutual entities  

SECTION 258G   APPLICATION OF THIS PART TO MCI MUTUAL ENTITIES  

258G(1)    
For the purposes of applying this Part to an MCI mutual entity, a reference (other than in section 258B ) to a shareholder of the entity is taken to include a non-shareholder mutual member of the entity.

258G(2)    
For the purposes of applying Division 1 to an MCI mutual entity:

(a) any reduction of the entity ' s share capital that relates to MCIs is taken to be a selective reduction; and

(b) the reference to all ordinary shareholders in paragraph 256C(2)(b) is taken to be a reference to all members of the entity.

258G(3)    
For the purposes of applying Division 2 to an MCI mutual entity:

(a) any scheme to buy back MCIs is taken not to be an equal access scheme; and

(b) subsections 257B(4) and (5) (the 10/12 limit) have effect in relation to MCIs issued by a mutual entity as if each MCI were a voting share with one vote attached to it; and

(c) the reference to all ordinary shareholders in paragraph 257D(1)(b) is taken to be a reference to all members of the entity.

258G(4)    
To avoid doubt, this section does not have the effect of treating a non-shareholder mutual member ' s membership of an MCI mutual entity as a share.