Company Law

Application of premium received on issue of SHARES [S. 52]

  1. Issue of unissued shares of the Co to the members of the Co as fully paid bonus shares;
  2. Writing off the expenses of, or the commission paid or discount allowed on, any issue of shares or debentures of the Co;
  3. Purchase of own shares or other securities u/s 68 (buy-back of securities);

    In case of Cos as may be prescribed and whose FS comply with AS prescribed for such class of Cos u/s 133, Premium received on issue of shares can also be applied for the following:

  4. Premium payable on the redemption of any redeemable preference shares or of any debentures of the Co ;
  5. Writing off the preliminary expenses of the Co.