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Is bonus shares can be given to pref. Shareholder also ??? And reason
Answers (3)
The Act does not state any provision restricting or prohibiting bonus to preference shareholders. Further it does not expressly states that bonus shares can be issued "only" to equity shareholders. Section 63 states that a company may issue fully paid-up bonus shares to its members, out of- 1. Its free reserves; 2. The securities premium account; or 3. The capital redemption reserve account. Members include both equity and preference shareholders
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