: Þ(1) Any public company that can issue securities to the public according to the prevailing law on securities may issue shares of premium price according to the terms and conditions mentioned in the prevailing law on securities. However, private companies or other public companies that have not made provision for public issue of securities in accordance with the prevailing law on securities may issue shares at a premium price after obtaining approval from the general meeting in the event that the assets exceed the liabilities.
(2) According to sub-section (1), if the shares are sold at a premium price, the premium account should be opened and deposited out of the amount received from it, which is more than the fixed price. (3) The amount in the account as per sub-section (2) may be used by the company for the following works:-
(a) to issue fully paid up bonus shares to the shareholders out of the unissued share capital,
(b) to provide for an amount in respect of the premium to be paid on redemption of any preference share to be redeemed,
(c) To deduct initial expenses incurred by the company,
(d) To incur or recover the expenses incurred or the commission or discount amount paid in connection with the issue of shares of the company.
(4) According to sub-section (1), when requesting the approval of the office to issue shares of premium price, the audited financial statement of three years shall be provided to the office.