Enhance Securities management and easily track the cancellation of issued shares back into an entity's treasury.
Overview
Learn how to process a redemption, repurchase, cancellation, or retraction of issued shares from a holding back into an Entity's treasury using the Cancellation transaction in Athennian.
Note: This process requires existing holdings with issued shares.
Availability: All customers.
Navigate to the Cancellation Workflow
Navigate to the profile of the Entity for which to do a retraction transaction
Navigate to the Securities > Ownership section down the left-hand side of the screen
In the Transactions tab, click the blue + New button in the top right-hand corner
In the New Transaction modal, select Cancellation from the list of transactions
Complete the Cancellation Details
In the Details section:
In the Select Type dropdown available, select Redemption
Fill in the mandatory Transaction Date* and Resolution Date
Note: If the dates are not yet available, check off Blank Transaction Date/ Blank Resolution Date and fill them in at a later time. If Blank Transaction Date is checked off, underlines will appear in the documents when generating them where the dates would have appeared
In the Number of shares* field, enter the number of shares to redeem
Enter the Price per share if applicable
Select the appropriate Currency from the dropdown
Use the Other Consideration field to include notes for other types of consideration given in exchange for the shares (e.g., property or services)
Use the Use on Register, Use on Register From, and Use on Register To fields to leave notes describing the transaction to be used in the Registers
Select the Holding and Certificates
In the Holding Selection section:
Select the holding from which to redeem shares from by clicking the Select Holding box
Search for the holding by filling their name in the available Search bar and click on their name
A list of the share certificates issued to that Shareholder will appear
Check off the certificate(s) from which to redeem the shares
Enter the amount of shares to be redeemed from each certificate
Note: Make sure that the numbers entered in the certificates section match up with the amount entered in the Number of shares field
Check off Leave balance on certificate if necessary to leave the balance shares (where applicable) on the original certificate
Note: If this is not checked off and there is a balance left on the certificate, the original certificate will be cancelled, and a new certificate will be issued with the balance
Review and Create the Transaction
Move on to the Preview tab
Review the information and click the Close box once completed
Click the blue Create to confirm the transaction
Notice the redemption transaction appear in the Transactions section in Pending status
Select the transaction and navigate to the status drop-down in the top right-hand corner and select Confirmed, and click the Update button to finalize
Note: Once confirmed, the new certificate will be found in Securities > Ownership > Certificates, and the new shareholding information will be visible in Securities > Ownership > Holdings
Proceed to generate documents to support this transaction as required