Wednesday, 8 July 2015

Capital increase

Carry out the capital increase means determining a change in share capital established at the time of birth of the company.
  1. The ways in whichwecan realizethe capital increaseare twofold:
  2. thecompany issuesnew shares;
  3. nowincreases thevalue of the securitiesalreadyincirculation.
The company intends to proceed with the capital increase has to decide according to which mode to do so, choosing from the following options:
  • capital increaseinpayment: the subscription ofnew sharesis made bypaymentof a fee.
  • scrip: assigningnew sharesfree of chargeto existing shareholders.
  • capital increaseinmixed form.
Generally a company decides to carry out a capital increase to pay because it needs cash to invest or, as a result of financial problems, to replenish the capital.

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