AL SB363

Amends Section 10A-2-11.02 of the Code of Alabama 1975 to add provisions allowing corporations to acquire all outstanding shares of one or more classes or series of stock of another corporation through a share exchange transaction.

Requires the board of directors of each corporation to adopt a share exchange plan and, if required by Section 10A-2-11.03, the shareholders of each corporation must approve the exchange.

Share exchange plan must include the names of both the corporation whose shares will be acquired and the acquiring corporation, the terms and conditions of the exchange, and the manner and basis of exchanging shares for shares, obligations, securities, cash, or other property.

Share exchange plan may include other provisions relating to the exchange and does not limit a corporation's power to acquire shares through voluntary exchange or other means.

Effective immediately upon passage and approval by the Governor or upon becoming law.