cryptohunter
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In the UK, when a company wants to issue new shares, it's not a casual decision—it involves following legal rules. There are specific steps to make sure the process is clear and legal.
They check the company's rules (articles of association) to see if current owners get first dibs on buying the new shares. If that's the case, the company has to offer the new shares to existing owners before looking for outside investors.
The company's decision-makers, called the board of directors, have a big say in this. They look at the money side of things, market conditions, and the company's plans before deciding. Sometimes, they need the go ahead from the owners, depending on the company's rules and how big the share issuance is.
They check the company's rules (articles of association) to see if current owners get first dibs on buying the new shares. If that's the case, the company has to offer the new shares to existing owners before looking for outside investors.
The company's decision-makers, called the board of directors, have a big say in this. They look at the money side of things, market conditions, and the company's plans before deciding. Sometimes, they need the go ahead from the owners, depending on the company's rules and how big the share issuance is.