Reference no: EM133549231

Question: Bill, Bob and Betty are minority shareholders of ABC Ltd. The directors of ABC Ltd want to safeguard against the minority shareholders objecting to any of their decisions in the future. To this end they decide to compulsorily acquire Bill, Bob and Betty's shares. The directors intend to incorporate a clause in the company's constitution enabling the directors to acquire shares of existing shareholders, at their discretion. Advise Bill, Bob and Betty whether there are any grounds upon which the minority shareholders could object to the inclusion of the clause in the constitution.