Company Law In Jersey - Share Capital

The company's authorised share capital is the capital which the company has been authorised to issue. The level of authorised capital is under the control of the shareholders, either as original subscribers when signing the Memorandum of Association or subsequently by special resolution. The authorised capital can be split into different classes with different rights as to voting, participation in profits, etc, or different denominations. For example, it is possible to create preference shares, which may be redeemable, providing there are shares in issue which are non-redeemable.

Shares may be issued at a premium in which case the uses of the resulting share premium account are restricted. However, one such use is the payment of any premium due on the redemption of redeemable preference shares.