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Texas Business Organizations Code

§ 21.603 — BENEFICIAL OWNER OF SHARES OR OTHER SECURITIES

BO § 21.603Title 2. CORPORATIONS · Ch. 21. FOR-PROFIT CORPORATIONS · Art. M. AFFILIATED BUSINESS COMBINATIONS

Statute text

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(a)For purposes of this subchapter, a person is a beneficial owner of shares or other securities if the person individually, or through an affiliate or associate, directly or indirectly beneficially owns the shares or other securities or has the right to:
(1)acquire the shares or other securities immediately or after the passage of time according to an oral or written agreement, arrangement, or understanding, or on the exercise of conversion rights, exchange rights, warrants, or options;
(2)vote the shares or other securities according to an oral or written agreement, arrangement, or understanding; or
(3)acquire, hold or dispose of, or vote the shares or other securities with another person who individually, or through an affiliate or associate, beneficially owns, directly or indirectly, the shares or other securities.
(b)A person, however, is not considered a beneficial owner of shares or other securities for purposes of this subchapter if:
(1)the shares or other securities are:

Legislative history

Acts 2011, 82nd Leg., R.S., Ch. 139 (S.B. 748), Sec. 31, eff. September 1, 2011.

Source: Texas Business Organizations Code § 21.603 from the Texas Constitution and Statutes (Texas Legislature) (public record). DecisionDepot is for informational use only and is not legal advice — verify against the official source before relying on this text.