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Zorluk: ZorBonus and Rights Issues

Vanguard Enterprise Plc had an issued share capital of 1,000,0001,000,000 ordinary shares of ₦0.50\text{₦}0.50 each and a Share Premium account balance of ₦120,000\text{₦}120,000. The company declared a bonus issue of 11 new ordinary share for every 55 shares held, utilizing the Share Premium account to fund the bonus shares. Immediately following the bonus issue, the company made a rights issue of 11 new ordinary share for every 44 shares held at an issue price of ₦0.80\text{₦}0.80 per share. What is the final balance of the Share Premium account (in ₦\text{₦}) after both transactions are completed?

Cevap: 110000 ₦

Cevap

The final balance of the Share Premium account after both the bonus issue and rights issue is ₦110,000.
The correct final Share Premium balance is ₦110,000. Funding 200,000 bonus shares of ₦0.50 each requires ₦100,000 from the initial ₦120,000 premium, leaving ₦20,000. Subsequently, the 1-for-4 rights issue on the expanded 1,200,000 shares issues 300,000 shares at a premium of ₦0.30 per share (₦0.80 - ₦0.50), creating ₦90,000 of fresh premium. Summing the remaining ₦20,000 and ₦90,000 gives ₦110,000.

Adım Adım Çözüm

1
Calculate the bonus issue share quantity and nominal capital value
200,000 bonus shares with a total nominal value of ₦100,000
A 1-for-5 bonus issue on 1,000,000 shares yields 1,000,000 / 5 = 200,000 shares. At a nominal value of ₦0.50 each, the capital required is 200,000 × ₦0.50 = ₦100,000.
2
Deduct the capitalized amount from the initial Share Premium balance
Remaining Share Premium balance of ₦20,000
Initial Share Premium balance of ₦120,000 minus ₦100,000 capitalized for bonus shares leaves ₦20,000.
3
Determine the expanded share base and calculate the number of rights shares issued
300,000 rights shares issued
Post-bonus issued shares total 1,000,000 + 200,000 = 1,200,000 shares. A 1-for-4 rights issue gives 1,200,000 / 4 = 300,000 shares.
4
Compute the total share premium generated from the rights issue
₦90,000 in new share premium
Rights issue price is ₦0.80 per share while nominal value is ₦0.50, giving a premium of ₦0.30 per share. Total new premium created = 300,000 × ₦0.30 = ₦90,000.
5
Add the new rights issue premium to the remaining Share Premium balance
Total final Share Premium balance of ₦110,000
Remaining balance of ₦20,000 + ₦90,000 new premium = ₦110,000.

Anahtar Kavram

Bonus issue capitalization and rights issue share premium calculation
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Konular

Bonus and Rights Issues

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