Section 146: Participation by holders of company's securities

During a company’s business rescue proceedings, each holder of any issued security of the company is entitled to—

(a) notice of each court proceeding, decision, meeting or other relevant event concerning the business rescue proceedings;

(b) participate in any court proceedings arising during the business rescue proceedings;

(c) formally participate in a company’s business rescue proceedings to the extent provided for in this Chapter;

(d) vote to approve or reject a proposed business rescue plan in the manner contemplated in section 152, if the plan would alter the rights associated with the class of securities held by that person; and

(e) if the business rescue plan is rejected, to—

(i) propose the development of an alternative plan, in the manner contemplated in section 153; or

(ii) present an offer to acquire the interests of any or all of the creditors or other holders of the company’s securities in the manner contemplated in section 153.

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Business rescue legislation

Legal references cited by Chapter 6