VIC Can Company Directors Issue New Shares Without Members Meeting?

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GregsMoney

Member
23 September 2016
1
0
1
I am one of three company directors of a Pty Ltd company. We wish to issue new shares to new members and want to know if we can do this without calling a members meeting. The directors all own shares. One of the members of is deceased and the shares are in escrow and the other shares are issued to his family trust now managed by the deceased member's wife who has no interest in the company.

We wish to bring in new capital which will dilute all members equally.
 

Rod

Lawyer
LawConnect (LawTap) Verified
27 May 2014
7,726
1,056
2,894
www.hutchinsonlegal.com.au
want to know if we can do this without calling a members meeting

No

wish to bring in new capital which will dilute all members equally.

Doesn't impact first answer.

Also check your member's share agreement in case there are special provisions relating to issue rights..
 

Matthew Karakoulakis

Well-Known Member
27 October 2016
69
13
224
I am one of three company directors of a Pty Ltd company. We wish to issue new shares to new members and want to know if we can do this without calling a members meeting. The directors all own shares. One of the members of is deceased and the shares are in escrow and the other shares are issued to his family trust now managed by the deceased member's wife who has no interest in the company.

We wish to bring in new capital which will dilute all members equally.

Hi Greg,

I agree with Rod. If you would like specific legal advice regarding how to proceed, please feel free to contact me via Matthew Karakoulakis, Lawyer, AMK Law - Melbourne, VIC - LawTap - Find a Lawyer & Book Online Instantly.

Yours faithfully,