UAE President Sheikh Khalifa bin Zayed Al Nahyan has issued a federal law amending Federal Law no.8 /1984 on trading companies. According to Article 1 of the new law, which supplements Article 168 of the amended company law stated above, no company shall mortgage its shares or buy them back unless it is doing so with the intention of reducing its capital or investing in its shares. However, in this event these shares will not render voting power at the general assembly just as those shares shall also not be entitled to profit
disbursement, the new law said.
Al Bawaba
