When a company is imported into Inform Direct the data returned by Companies House will sometimes include details for a share class which no longer exists. When this happens you will see an Unreconciled Share Alert.
The old class will show because the latest shareholder list (included as part of a confirmation statement) notes shareholders owning shares in the (old) class. However, the old class was not not included on a more recent statement of capital so is considered an old class.
This situation indicates a transaction has taken place since the last list of shareholders (i.e confirmation statement) were filed to Companies House.
If an existing share class simply needs to be merged, cancelled, converted, split or consolidated see:
The merge share classes option is most likely to be needed where one share class has 0 shares in issue and another share class has the same number of shares in issue as the number held by the shareholders of the share class with 0 shares in issue. See below.
If the No. (of shares) allotted to shareholders for the share class with a nominal value of £0.00 is different from the Number of shares for another share class which has an 'unreconciled' then another process will be required. The screen shot below is an example where a share split is most likely needed from the old share class (which is marked 'Unreconciled' and has a nominal value of £0.00) splitting each old share into 100 new shares.
Thankfully, it is effortless to rectify. Here is the process:
1. We must first add back the missing Nominal Value and Prescribed Particulars to the old share class.
How do I correct the nominal value?
How do I edit the prescribed particulars?
2. Ascertain what the transaction was which has caused the anomaly.
Note: If you are in doubt search the Companies House website for the date and details of the transaction.
3. Process the transaction using the relevant Inform Direct wizard.
In this instance, it is a share split, but it could be one or a mixture of the following that need to be processed: