CAPITALIZATION ISSUE
capitalization issue: translation
(Also scrip issue / bonus issue) Euroclear Clearing and Settlement glossary
Security holders are awarded additional assets free of payment from the issuer in proportion to their holding. A bonus issue is typically represented by shares, rights or warrants. Nominal value does not change. Holders may be offered choice of form. Euroclear Clearing and Settlement glossary
* * *
capitalization issue capitalization issue ➔ issue2
* * *
An issue of shares - free to the shareholders - that results from a company transferring money from its reserves to its permanent capital.New shares are distributed to the existing holders in proportion to their holdings. Also known as a bonus or scrip issue.
► See also Scrip Issue, Share, Stock.
* * *
capitalization issue UK US (UK also capitalisation issue) noun [C]
► FINANCE