The company would like to redeem the preference shares of a minority shareholder, there are 35000 preference shares at £1 each.
The companies accounting year is Jan to Dec.
YTD (up to March 29th) the company has £15000 distributable reserves
In this an accounting year (Jan to Dec) distributable reserves are estimated at £60000, it is not affected by Covid-19.
Question is, can the company redeem the preference shares now? Knowing that the distributable reserves will cover the preference share redemption by the end of the year, or even by July?
Thank you for your help in advance.