Loan relationships: special types of security: deeply discounted securities and close companies: participation: example
FH Ltd is a close company with £100 issued ordinary share capital, held as follows.
FH Ltd issues relevant discounted securities with redemption amounts totalling £10,000 as shown below.
|K Brown (son of Jay Brown)||£5,000|
|Kibbo Ltd (subsidiary of Marby Ltd)||£1,000|
|GT Ltd (company 100% owned by L Smith)||£1,000|
CTA09/409 applies to all the creditors.
|K Brown||Associate of participator|
|Kibbo Ltd||Company controlled by a participator|
|GT Ltd||Company controlled by a participator.|