The articles of association of Pelican Pte Ltd (Pelican) provide as follows:Article 5: The holders of Class A shares shall be entitled to receive 5% per annum cumulative dividend.Article 6: The rights attached to Class A shares may be varied with the consent in writing of the holders of 80% of Class A shares.Joe, the Chief Executive Officer of Pelican, wishes to reduce the dividend payable to Class A shareholders from 5% to 4%. He is afraid the company will not be able to obtain the written consent of 80% of Class A shareholders as required by article 6.As such, Joe wishes to get Pelican to amend article 6 such that the level of consent required from Class A shareholders is reduced from 80% to 75%. After article 6 has been amended, the company will then proceed to amend article 5 to reduce the dividend from 5% to 4%.Required:Advise Pelican on the procedure to first amend article 6 and to then amend article 5. (10 marks)
