ACCFIN COMPANY LAW
Guide
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25.3 APPROVAL OF A FUNDAMENTAL TRANSACTION

The Act has simplified the common approval procedure for all three fundamental transactions.  This is found in s 115.  Where a shareholder opposes any one of these transactions, the shareholders have what we call an appraisal right in terms of s 164.
When any of these transactions are preformed both s 115 and s 164 must accompany the notice given to shareholders.
A special resolution is required for a fundamental transaction to be approved. However, a court approval will be required if 15% of the voting rights requires the company to seek court approval. The court is required to review the resolution and not the transaction unless it is manifestly unfair to a group of shareholders and is tainted with a conflict of interest.
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