12.6 TRANSFER OF SHARES
Shares may be transferred from one shareholder to another person or company on the payment of an agreed price from the new shareholder to the old shareholder. The money paid does not go into the company but is paid by the new shareholder to the old shareholder. The determination of this price is between the new and old shareholder. On the JSE the market sets the price.
A transfer consists of a series of steps;
1. An agreement to transfer
2. The execution of the deed of transfer
3. The registration of the transfer
Full title to the shares i.e. all rights and duties of the member as embodied in the MOI is conferred only by the registration of transfer in the share register. One also needs to take into account the conditions as set out in the MOI and the company must be fully aware of pre-emptive rights.