In a nutshell, the new Malaysian Companies Act 2016 will contain the following new features that were previously not available in the old Companies Act 1965-
- Allowing unlimited capacity for companies;
- Single shareholder and single director companies;
- Removal of mandatory Annual General Meetings for private companies;
- Removal of the unanimity rule for written shareholder resolutions for private companies;
- Removal of the par value regime;
- New financial assistance treatment;
- New reduction of capital and share buy-back procedures;
- Increased oversight over directors' remuneration;
- Relaxation of restrictions against indemnification of directors; and
- Introduction of alternative corporate rescue mechanism e.g. corporate voluntary arrangement and judicial management schemes.
