Key Points
Check whether the constitution permits the intended conversion. If constitutional changes are needed, obtain and file the required special resolution first. ACRA notes that non-redeemable preference shares cannot simply become redeemable preference shares. Officers or a CSP file the conversion through the share-information service. The listed transaction is free and immediately processed.
Check the Existing Rights Before Selecting a New Class
Conversion changes the class of shares that already exist; it is not the same event as issuing additional shares or transferring ownership. Record the existing class and proposed class, then compare the proposed conversion with the company’s constitution. ACRA identifies several possible reasons for conversion, including a reorganisation, sale or shareholders’ administrative and family arrangements. The permitted route still depends on the applicable rights and restrictions. In particular, its guidance excludes converting non-redeemable preference shares into redeemable preference shares, so a new label alone cannot overcome that restriction.
Complete Any Constitutional Change Before Filing Conversion
If the constitution does not permit the intended conversion, pass the required special resolution at a general meeting and file it through the Notice of Resolution service. That is a preparatory step, not the conversion notice itself. Once the prerequisites are met, an officer or corporate service provider uses Update shares information and selects File conversion of shares. Review the information against the approving decision before submission. The stated transaction is free and processed immediately. Keep the acknowledgement with the constitutional and shareholder records; if a mistaken filing cannot be resolved by a Notice of Error, ACRA notes that a court order may be needed.
Official Source
A concise, independent Apex Gateway guide based on the official English source, not a reproduction of the complete document. Consult the original for full conditions, exceptions and subsequent updates.
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