Managing share allocations

Keep your shareholding details up to date

You may decide to issue shares (increase the total) or purchase shares (decrease the total) in your company. You must notify us within 10 working days of a change to the total number of shares issued in your company. All changes must be recorded on your company share register and in your next annual return.

In this guide

Increasing the total number of shares

Before increasing the total number of shares in your company, you need to find out:

  • whether the increase is the result of a share issue, conversion or subdivision of shares
  • how many shares are being added to your shareholding
  • the date of the issue of the new shares, and
  • details of each shareholder or share allocation to be added.

In some circumstances you may need to provide a director's certificate supporting an increase in shares or share issue under Sections 47 and 49 of the Companies Act 1993.

Companies Act 1993 — Section 47 New Zealand Legislation

Companies Act 1993 — Section 49 New Zealand Legislation

Decreasing the total number of shares

Before decreasing the total number of shares in your company, you need to find out:

  • whether shares are being acquired, purchased, redeemed or consolidated
  • how many shares are being either acquired, purchased, redeemed or consolidated
  • the date of purchase, redemption, consolidation or acquisition, and
  • details of each shareholder or share allocation to be removed.

Authority to update your shareholding

To update details of your company's shareholding you must have:

  • a RealMe® login
  • an online account with us, and
  • confirmed authority with us.

RealMe logins and setting up your online account

Confirming your authority to update the register

How to increase or decrease your total shares

  1. Log in.
  2. Select the company from your dashboard.
  3. On the 'Company summary' screen select the 'Shareholdings' tab.
  4. Select the 'Update details' button and select 'Continue' on the 'Acknowledgement' screen.
  5. Under 'Total number of shares' select 'Change'.
  6. Select the type of change you want to make:
    • Increasing shares — Share issue, or Conversion or subdivision of shares.
    • Decreasing shares — Acquisition, purchase, redemption or consolidation of shares.
  7. (Optional) Enter the terms and the date of the share issue.
  8. You will be prompted to provide details of any share increase or decrease, depending on which option you have selected. All fields marked with an asterisk are compulsory. Select 'Continue'.
  9. Once you have been returned to the 'Update shareholdings' screen, you have the option to 'Upload a director's certificate'.
  10. Once you have increased or decreased your total shares, the next step is to update your share allocations.
Update shares and shareholders

Updating, adding or removing a share allocation

You must update your company's share allocations when you:

  • increase or decrease the total number of shares available in the company
  • add or remove shareholders from an allocation
  • add or remove a share allocation.

To update an existing share allocation

  1. Log in.
  2. Select the company from your dashboard.
  3. On the 'Shareholdings' tab, select the share allocation you want to change.
  4. Select 'Show all details'.
  5. Update the 'Number of shares' field to reflect the increase or decrease in the total number of shares available.
  6. You can also:
    • remove a shareholder from the share allocation by selecting the 'x' icon beside the shareholder's name.
    • add a shareholder and allocate shares to them by selecting the shareholder drop-down box in the shareholder allocation.
  7. Ensure the number of shares across each allocation matches the total number of shares available.
  8. Once all changes have been made select 'Continue'.
  9. Review and submit your update.
Update shares and shareholders

To add a share allocation

  1. Log in.
  2. Select the company from your dashboard.
  3. On the 'Shareholdings' tab select 'Add new allocation', and enter the total number of shares in the new allocation.
  4. Choose 'Select shareholder' to display a list all shareholders.
  5. Select each shareholder you want to include in the new allocation, and enter the number of shares each has been allocated. All shares in the new issue must be allocated.
  6. Select the 'Continue' button.
  7. Review and submit your update.
Update shares and shareholders

To remove a share allocation

  1. Log in.
  2. Select the company from your dashboard.
  3. Select the 'Shareholdings' tab.
  4. Select the 'Update details' button.
  5. Confirm the Acknowledgement.
  6. Select the share allocation to be removed.
  7. Select 'Remove this allocation'.
  8. Select 'Continue'.
  9. Review and submit your update.
Update shares and shareholders

Other guides in
Shares and shareholders

Other help topics

Before you start a company

Starting a company

Keeping company details up to date

Company directors

Company annual returns

Complying with the law

Financial reporting

Amalgamations

Managing an overseas company in New Zealand

Closing a company

Restoring a company to the register

When your company fails

Managing your online account

Getting support to use the Companies Register

View all topics