Article 31. Pledge of the Company's securities The Law on Joint Stock Companies
1. The right to pledge the company's securities may not be limited or excluded by the provisions of the company's articles of association.
The shareholder has the right to vote and receive dividends on the pledged shares, unless otherwise provided by the terms of the pledge.
2. The Company may accept securities placed by it as collateral only if:
1) the securities transferred as collateral are fully paid for;
2) the total number of shares pledged to the company and held by it as collateral is not more than twenty-five percent of the outstanding shares of the company, with the exception of shares repurchased by the company;
3) the pledge agreement has been approved by the Board of Directors, unless otherwise stipulated by the company's articles of association.
3. The right to vote on shares placed by the company and held by it as collateral belongs to the shareholder, unless otherwise stipulated by the terms of the pledge. The Company is not entitled to vote with its pledged shares.
4. The procedure for registering a pledge of the company's securities is determined in accordance with the legislation of the Republic of Kazakhstan on the securities market.
The Law of the Republic of Kazakhstan dated May 13, 2003 No. 415.
This Law defines the legal status, procedure for the establishment, operation, reorganization and liquidation of a joint-stock company; the rights and obligations of shareholders, as well as measures to protect their rights and interests; the competence, procedure for the formation and functioning of the bodies of a joint-stock company; the powers, procedure for the election and responsibility of its officials.
President
Republic of Kazakhstan
© 2012. RSE na PHB "Institute of Legislation and Legal Information of the Republic of Kazakhstan" of the Ministry of Justice of the Republic of Kazakhstan
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