Share Buyback (and Donation) Scheme

Our community shares are not like the shares traded on stock exchanges. There are no dividends, the share price doesn’t change and shares cannot be freely traded. However, they can be donated to the Society (Exeter Street Community Hall Limited) or sold back to the Society for the original purchase price of £1 per share.

We have a scheme that allows shareholders to apply to sell their shares. The scheme, which began in 2022, has to be affordable for us, so in any one year only a small amount of money will be made available for this purpose. If demand to sell shares exceeds the amount available (which has not happened yet) then a fair allocation formula will be used. In addition, there is an option to donate shares to the Society.

Here are the two documents that explain the scheme.

The first document describes what the scheme is and how it works:

Community Shares Buyback Policy

 

The second document is a spreadsheet with a set of worked examples, showing what happens if different numbers of shareholders ask to sell various amounts of shares when there is a fixed limit on the amount of money available to buy them:

Community Shares Buyback Policy – Practical Examples (spreadsheet)

 

Applications to withdraw shares can be made during the month of February, near the end of our financial year. In March the management committee decides – if necessary on the basis of the scheme’s fair allocation formula – how much money can be paid to how many shareholders. Payment will be made by bank transfer.

To make an application to withdraw shares in the 2025 round, download the share withdrawal application form:

Application to Withdraw ESCH Shares

and send it to the Hall no later than Friday 28 February 2025.

As an alternative to withdrawing shares (e.g. if you have moved out of the area and no longer want to be an active shareholder) you can donate shares to the Society. If you wish to donate shares please download the share donation application form:

Application to Donate Shares to ESCH

* You can donate shares at any time *

If you have any questions about the scheme, email [email protected]

January 2025