Register of directors’ interest in shares and debentures must be kept and updated regularly as part of your company’s statutory company registers.
It is a record of the extent to which your directors have invested personal wealth in your company and their dealing in securities. This is a matter which is of obvious interest to other shareholders. Interests of your directors’ spouses and their infant children must be included as well. Shadow directors are to be included too.
The meaning of interest in the context under the UK company law includes:
- Interest under a trust
- Interest owned by a company in which the director owns one-third of the voting rights, and
- Entitlement to exercise any rights in shares.
Both acquisitions and disposals by sale or assignment must be recorded. Your directors’ rights to exercise share options must be included.
Register of directors’ interest in shares and debentures usually is kept your company’s registered office address. If your register is at a different address, your company must give notice to the Registrar of Companies of the place where your register is kept. You must submit the Companies House form AD02 to inform Companies House of your SAIL address.
The register must be available at your Annual General Meeting. It is not mandatory for your company to disclose whom is the ultimate controlling party of your company. However, the personal details of the person with significant control or influence of your company must be registered with Companies House and included in your Confirmation Statement.