The Principal Act is amended by the insertion of the following section after section 31C:

"31D. Cancellation schemes of arrangement

(1) In this section -

'Act of 2014' means the Companies Act 2014;

'agreement' includes any arrangement, contract, compromise, understanding, scheme, offer, transaction or series of transactions;

'company' means a company formed and registered under the Act of 2014 or an existing company within the meaning of that Act;

'registrar' has the same meaning as it has in the Act of 2014;

'scheme order' has the same meaning as it has in Chapter 1 of Part 9 of the Act of 2014.

(2) Where -

(a) there is an agreement to effect the acquisition of a company (in this section referred to as the 'target company'),

(b) the target company enters into an arrangement -

(i) that has become binding in accordance with section 453 of the Act of 2014, and

(ii) in accordance with which there is a cancellation of shares in the target company pursuant to Chapter 4 of Part 3 of that Act,

and

(c) the shareholders of the target company receive consideration for the cancellation of those shares held by them,

the agreement referred to in paragraph (a) shall be -