Bonus issue timing requires implementation within specified periods after board or shareholder approval and cannot be withdrawn. Where shareholder approval is not required for capitalisation, an issuer must implement the bonus issue within a short period from board approval; where shareholder approval is required, implementation must occur within a longer prescribed period from the board meeting that announced the bonus issue subject to such approval. Commencement of trading in the bonus shares is the date of implementation, and an announced bonus issue cannot be withdrawn.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Bonus issue timing requires implementation within specified periods after board or shareholder approval and cannot be withdrawn.
Where shareholder approval is not required for capitalisation, an issuer must implement the bonus issue within a short period from board approval; where shareholder approval is required, implementation must occur within a longer prescribed period from the board meeting that announced the bonus issue subject to such approval. Commencement of trading in the bonus shares is the date of implementation, and an announced bonus issue cannot be withdrawn.
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