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The company can only create new shares if it has unissued capital. Granted this is kind of a arbitrary legal restriction, so it doesn’t really matter. But the
by mruts 7y ago
The company can only create new shares if it has unissued capital. Granted this is kind of a arbitrary legal restriction, so it doesn’t really matter.
But the real issue is that shareholders will be informed when new shares are issued and no one likes dilution. I’m not 100% sure, but I believe existing shares held by the company can be sold without notification until a quarterly report.