Glossary · Corporate Law
EGM
Extraordinary General Meeting — any general meeting of shareholders other than the AGM, convened to discuss urgent or special business.
An EGM can be called by the Board on its own, on the requisition of members holding at least 1/10th of the paid-up share capital (Section 100), or by the Tribunal on application. A 14-day clear notice is required, shorter than the 21 days for an AGM. Common reasons for an EGM include alteration of the Articles of Association, change in capital structure, removal of auditor, approval of a related-party transaction exceeding thresholds, and mergers.
Examples
The board of a private company calls an EGM to seek shareholder approval for a preferential allotment of shares.