Redeemable share

Redeemable share – in the sphere of Corporate Law, this legal term refers to a share that can be bought back by the party which has issued it. Redeemable shares could be bought back (i.e. withdrawn from the market) due to various reasons (usually because reducing of the main capital of the company). The origin of the term is the word “redeem”, which means to pay back a loan together with the interest on top of it; to restore money previously taken.

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