A 100% owned subsidiary trading company does work for Startup company. Startup can't pay now but offers to give shares in their company which is accepted and formally agreed. Holding company holds investments and prefers to hold the investment in this startup instead of keeping in subsidiary. So Startup issues shares to holding company instead, as formally agreed, and holding company pays subsidiary to satisfy the debt.
Technical advice given to me is that the shares should be reflected as received in subsidiary to satisfy debt and then transferred to holding company at same time which seems cumbersome. As long as it is a commercial arrangement and there are commercial agreements in place surely the shares can go straight to the holding company?