Revisiting Interesting Principles of the SA Companies Act -Nano episode 2

  • Presenter: Anton van Wyk CA(SA)
  • Level: Intermediate
  • Study time: 45 minutes
  • Release date June 2023 
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Course overview
In this on-demand short course brought to you in eight individual parts, join CPD Campus as we revisit the most interesting underlying principles contained in the SA Companies Act, No. 71 of 2008, that are usually applicable and relevant to accounting, finance, and business professionals. The short course is presented in eight short learning modules of no longer than one hour each, which we refer to as a nano episode. After having completed this short course, you will have refreshed your understanding of these underlying principles without having to tackle the entire Companies Act as a learning intervention. In having done so, you will have developed the professional competencies listed in the green section below.
Nano-episode 2 – In this second episode, we refresh the most important principles relating to the provision of financial assistance to acquire shares in the company, or its parent company, as contained in Section 45 of the SA Companies Act. In 40 minutes, you can listen to this podcast-style episode on your laptop, PC, or smartphone.
The following areas are covered in nano-episode 2:
  • A short history of Section 45 in South Africa
  • What is “financial assistance”?
  • What is “fair and reasonable”?
  • The requirements when financial assistance is granted
  • Who may financial assistance be provided to?
  • What about the impact of the company’s memorandum of incorporation (MOI)?
  • What are the most significant implications of Section 45 for businesses in South Africa?
  • A recent example of the application of Section 45 in the South African context – the Steinhoff case
  • What are the implications of Section 45 for investors?
  • Section 45 and potential tax consequences related thereto
  • Section 45 and potential financial accounting implications related thereto
  • Conclusionary thoughts

What's included?

  • 1 Learning chunk
  • 1 Slide deck
  • 1 Quiz
  • 1 Certificate of completion

Alignment to the SAICA Competency Framework