Document background
The Notice of Intention to Transfer Shares is a crucial document in New Zealand corporate governance that initiates the formal process of share transfer between parties. It is required under the Companies Act 1993 and must be used whenever a shareholder intends to transfer their shares to another person or entity. The notice typically includes essential information such as the number and class of shares to be transferred, details of both the transferor and proposed transferee, and the intended timeline for the transfer. This document serves multiple purposes: it ensures compliance with legal requirements, triggers any pre-emptive rights processes outlined in the company's constitution, allows the board to consider the proposed transfer, and maintains proper corporate records. The notice is particularly important in private companies where share transfers often require board approval and may be subject to restrictions or pre-emptive rights of existing shareholders.
