(1)Where any shares in a company are issued for the purpose of raising money to defray the expenses of the construction of any work or building, or the provision of any plant, which cannot be made profitable for a lengthy period, the company may-(a)pay interest on so much of that share capital as is for the time being paid-up, for the period and subject to the conditions and restrictions mentioned in sub-sections (2) to (7); and(b)charge the sum so paid by way of interest, to capital as part of the cost of construction of the work or building, or the provision of the plant.
