898 LAWS OF MARYLAND. [CH. 430

holder to accept the cash value of his stock as the same shall be
ascertained and determined in the proceeding herein author-
ized, and any right of conversion or exchange of his stock for
stock of the purchasing company shall by the institution of
such proceedings be terminated and annulled.

Third—If by the terms of the agreement stockholders of the
selling company shall be given the right to convert or exchange
their shares of stock into shares of stock of the purchasing
company, the failure or refusal of any holders of shares of the
selling company to accept within the period of six months
after the date named in said agreement for payment thereof
the cash value of their said shares as defined and set forth in
said agreement, shall be treated as and conclusively presumed
to be an election on the part of such holders to accept the stock
of the purchasing company to which by the terms of said agree-
ment they shall be entitled, and thereafter such holders shall
be entitled only to exercise the privilege of exchange of their
stock] for stock of the purchasing company upon the terms and
conditions provided in said agreement, and the cash value of
said shares as defined and set forth in said agreement shall
be retained by and become the property of the purchasing com-
pany. But the provision of this paragraph shall not apply to
the holder or holders of stock of the selling company who shall,
pursuant to the provisions of paragraph Second thereof, have
taken the proceedings authorized therein for the determination
of the value of their shares.

Fourth—In connection with and to consummate any pur-
chase authorized by the terms of this Act, the purchasing com-
pany may issue its own capital stock or bonds, either or both,
to such amount as may be required by the agreement or as
may be otherwise necessary in order to provide the price or
consideration to be paid by the purchasing company or to pay
off or retire the bonds or capital stock of the selling company,
or to effect exchanges of the bonds and stock of the selling
company for those of the purchasing company.

SEC. 2. And be it enacted, That this Act shall take effect
from the first day of June, A. D. 1918.

Approved April 18th, 1918.