Purchasing Shares in a private company

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dow jones

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Hi, I'm a shareholder in a small private company, I own 2 shares out of a total of 7 issued shares giving me 28.57% shareholding.
I'm interested in accuring 2 more shares but am concerned that there may be a threshold (over 50%?) where if I accure these shares I must offer to purchase all the remaining issued shares at the same price.
Is anyone aware of the rules regarding purchasing of shares in private companies in Ireland or a good link to them?
Thank you
 
I am not a lawyer, but...

I very much doubt that the rule which applies to publicly quoted companies applies to small private companies. I assume it is a stock exchange rule.

You may have a Shareholders' Agreement which sets out the arrangements for selling shares in the company.

If not, it could be covered in the Memorandum and Articles of Association.

Who set up the company for you? A solicitor? An accountant? A company secretarial company? They should know.

Brendan
 
Thanks Brendan, not covered in Momorandum or Articles and there is no shareholder agreement (except co law!). The company was set up by a solicitor so I will check with them but I think you're correct and those rules only apply to public companies. Thank you
 
I think it would be most unusual for a small company to be set up with 7 shares without a shareholders agreement of some sort.

Even if the original shareholders (7 or fewer) were all great pals when it was setup, a solicitor would surely have advised them to make sure there where rules in place as to what the shareholders could do in the event one or more of them wanted to sell or pass on his share(s) or that there was a falling out of one kind or another.

The first rule is always not to consider everything will be fine forever but to consider how to unwind in the case of a dispute or falling out
 
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