- authorised share capital
Under the Companies Act 1985 shares may be issued by the company to shareholders in return for cash or other value equal to or greater than its nominal value. Shares in the authorised share capital are available to be issued. The issued share capital refers to shares which have been allotted and issued and held by shareholders. Not all of the authorised share capital needs to be issued. When shares are issued the person subscribing must pay cash or equivalent value of at least the nominal amount. Where the share is worth more than its nominal amount, a premium may also be paid.
Easyform Glossary of Law Terms. — UK law terms.
- authorised share capital
The amount of capital that a company is authorised by its shareholders to issue. The amount of authorised share capital together with the number and nominal value of the shares into which it is divided must be stated in the company's memorandum of association. The amount of authorised share capital can be increased by an ordinary resolution of the shareholders.Related links
Practical Law Dictionary. Glossary of UK, US and international legal terms. www.practicallaw.com. 2010.
Look at other dictionaries:
authorised share capital — The maximum number of shares that a company can issue, as specified in the firm s articles of incorporation. Exchange Handbook Glossary The total number of shares a company is authorised to issue with regard to its memorandum and articles of… … Financial and business terms
share capital — Under the Companies Act 1985 shares may be issued by the company to shareholders in return for cash or other value equal to or greater than its nominal value. Shares in the authorised share capital are available to be issued. The issued share… … Law dictionary
Share capital — or issued capital (UK English) or capital stock (US English) [http://www.intracen.org/tfs/docs/glossary/se.htm] refers to the portion of a company s equity that has been obtained (or will be obtained) by trading stock to a shareholder for cash or … Wikipedia
share capital — /ˈʃɛə kæpətl/ (say shair kapuhtl) noun capital for the financing of a company to be raised by the issue of shares. See authorised capital, issued capital, paid up capital … Australian English dictionary
Issued share capital — The issued share capital of a company is the total nominal value of the shares of a company which have been issued to shareholders and which remain outstanding (ie. have not been redeemed or repurchased to be held in treasury). These shares,… … Wikipedia
issued share capital — The nominal amount of share capital that a company actually has in issue. The amount cannot exceed the authorised share capital but it can be less than that figure. Practical Law Dictionary. Glossary of UK, US and international legal terms.… … Law dictionary
authorized share capital — UK US noun [U] (also authorized capital, also UK authorised capital, also authorized shares, also authorized stock) FINANCE ► the largest number of shares that a company can offer for sale at a particular time: »Shareholders approved an increase… … Financial and business terms
increase in share capital — Under the Companies Act 1985 a company may increase its authorised nominal share capital by ordinary resolution. The total cash amount is increased by creating new shares with an aggregate capital amount. New shares cannot be issued if, by doing… … Law dictionary
Authorised capital — The authorised capital of a company (sometimes referred to as the authorised share capital or the nominal capital, particularly in the United States) is the maximum amount of share capital that the company is authorised by its constitutional… … Wikipedia
share — Shares represent a slice in the ownership of a company. Financial Services Glossary The authorised share capital of a company is divided into a number of equal parts. Each part is called a share. See ordinary shares, preference shares, securities … Financial and business terms