What does authorised capital mean?

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authorized capital

What does authorised capital mean?

authorized capital, in relation to a company, means -

  • in the case of a nominal value company, the maximum amount of share capital which the company is authorised to issue by its memorandum and articles of association;
  • in the case of a company with no par value, the maximum number of shares with no par value which the company is authorised to issue by its memorandum and articles of association;

You can find more and further information in our Lexicon/Glossary or in the IBC Act.

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