Minority shareholders: how far do your rights extend?
In the recent case of Eckerle and others v Wickeder Westfalenstahl and another, the High Court examined whether minority shareholder protection afforded by the Companies Act 2006 extends to a holder of beneficial interest in shares.
DNick Holding plc was a public limited company incorporated in England and Wales. It was managed and operated in Germany and had shares listed on the German stock exchange. The share capital of DNick was held by just two shareholders, one of which was the Bank of New York Depositary (Nominees) Limited (BNY). BNY acted as the common depositary agent, holding shares on trust for the holders of accounts with Clearstream, a clearing and settlement division of Deutsche Borse.
Mr Eckerle and two others (the claimants) held ultimate economic interests in the underlying securities of shares held by BNY in DNick. Following the passing of a special resolution, the listing of DNick’s shares on the German stock exchange was cancelled, and DNick was re-registered as a private limited company. The claimants alleged that their aggregate beneficial interest in DNick’s shares, gave them standing to apply under section 98 of the Act for cancellation of the resolution for DNick’s re-registration as a private limited company…
If you are registered and logged in to the site, click on the link below to read the rest of the Shoosmiths briefing. If not, please register or sign in with your details below.
Sign in or Register to continue reading this article
It's quick, easy and free!
It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.Register now
Why register to The Lawyer
In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.
Identify the major players and business opportunities within a particular region through our series of free, special reports.
Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.
More relevant to you
To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.
News from Shoosmiths
News from The Lawyer
Briefings from Shoosmiths
Shoosmiths has offered 10 top tips for conducting a disciplinary investigation.
Contractual remedies for defamation? Blackpool hotel adopts novel approach to damning TripAdvisor review
The hotel is reported to have relied on a provision of its hotel policy, purportedly entitling it to charge a ’maximum £100 per review’ for every bad review left on a website.
Analysis from The Lawyer
Compliance and corporate governance codes for large financial institutions will undoubtedly include provisions to regulate high pay in the future
There’s more to the ABS model than attracting the man in the street and procuring external investment. Partners at the big corporate firms, take note…