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Share Premium Account

   Also found in: Wikipedia 0.01 sec.
Share Premium Account
Capital raised in an issue of shares that exceeds the nominal value of the shares. The share premium account is recorded on the company's balance sheet and cannot be returned to shareholders as dividends.


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19% higher on further consideration of the company's announcement, on Tuesday, that it is seeking approval to reduce its share premium account.
They said in a statement: "Sunderland Plc intends, subject to shareholders' approval being obtained, to implement a cancellation of the company's share premium account, to re-register as a private company and amend its articles of association.
Once the options are exercised and shares issued, the credit going to the share premium account could be increased to balance the debit.
 
 
 
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