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Chapter 4 Share capital and debentures

Corporate & Other Laws

In preference share capital definition , there is a sentence "equity pool post the preferential entitlements " , what it means?

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Mehak K

Mehak K

CA Final

3K+

02-Dec-22 01:04

991

Answers (2)

Best Answer

The number of shares a company sets aside or reserves from which it may grant stock options or restricted stock is known as the "equity pool." As a result, even after the preferential entitlement only, the shareholder will receive the equity pool, and the preference holder will receive priority over the others by exercising their preferential entitlement first.


Thank you , got it.


Thread Starter

Mehak K

Mehak K

CA Final

3K+

02-Dec-22 12:51

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