Legal Question in Business Law in United Kingdom

Re: non-redeemable preference shares

It is arguable that it is possible to issue redeemable shares and then to ascertain the terms and manner of redemption of the shares afterwards by inserting them into the articles.

It is also arguable that it is possible to alter the terms and manner of redemption after the shares have been issued but before they have been redeemed (subject to the consent of the holders of the redeemable shares and to the consent of the shareholders of the company by way of a special resolution to alter the company's articles of association).

However because there is no legal authority to confirm either of these points it cannot be said with any certainty that such changes would be legally valid and unless there is a very compelling reason not to redeem on the original terms that is the safest course to follow.