Extraordinary General Meeting (EGM)
An extraordinary meeting is a meeting of members of the company that is convened when an important resolution is to be passed and an AGM cannot be called because it is not yet time for one, or it had recently held. An EGM can be said to be convened when there is an urgent need to convene a meeting of all members of the company.
WHO MAY CALL FOR AN EXTRAORDINARY GENERAL MEETING?
An extraordinary general meeting of a company may be called for by any member or members of the company holding at the date of the call, not less than one‐tenth of the paid up capital of the company or in the case of a company not having a share capital, members of the company representing not less than one tenth of the total voting rights of all the members having at the said date a right to vote at general meetings of the company. The call is referred to as a requisition. The directors, on receipt of the requisition for an EGM will proceed to convene the meeting, notwithstanding anything in its articles.
The requisition will state the objects of the meeting, and be signed by the requisitionists and deposited at the registered office of the company. If the directors do not within 21 days from the date of the deposit of the requisition proceed duly to convene a meeting, the requisitionists, or anyone or more of them representing more than one half of the total voting rights of all of them, may themselves convene a meeting, provided that any meeting so convened shall not be held after the expiration of three months from that date.
All businesses transacted at an EGM are deemed special.
Reference- s. 215 CAMA
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