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Debt for Equity Swap
Read more: Debt for Equity SwapDebt for equity swap is a process for restructuring by exchanging debt for equity. This tool is applicable for situations where a creditor, despite the borrower being unable to pay the debt, believes in the company’s future prospects and is open to a swap. The required steps for the realisation of the debt for equity…
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Share Split and Reverse Share Split
Read more: Share Split and Reverse Share SplitShare Split A Share Split is when a company increases the number of its outstanding shares to decrease the price of each share. This is usually done when the price of a share has increased significantly and the company wants to make the shares appear more affordable to small investors, even though the underlying value…
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Shares in Private Company
Read more: Shares in Private CompanyLet’s start from the definition of Share. In accordance with AIFC Companies Regulations, the Share, in a company, means a share in the share capital of the company, of whatever class of share it may be. So, we can get two key points from this definition: Given that shares represent a proportional interest in a…
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Employee Share Scheme: Aligning Interests for Long-Term Success
Read more: Employee Share Scheme: Aligning Interests for Long-Term SuccessThe Employee Share Scheme is an integral program designed by companies to allow their employees to acquire company shares. Its inception is rooted in the ethos of recognizing and rewarding dedicated employees for their pivotal contributions to the company. Furthermore, the Employee Shares Scheme promotes the alignment of employee interests with the overarching goals of…
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Investigation of affairs of a Private Company by the Inspector
Read more: Investigation of affairs of a Private Company by the InspectorThe Registrar of the Companies (the “Registrar”) in the pursuit of the Registrar objectives and to investigate an alleged contravention of DIFC legislation can appoint an Inspector to investigate the affairs of the Private Company and submit a written report to the Registrar. The Registrar may appoint one or more Inspectors to investigate the affairs…
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Employee Shares Scheme through Redeemable Shares
Read more: Employee Shares Scheme through Redeemable SharesAn Employee Share Scheme is a program that allows employees of a Company to acquire ownership in the Company through the purchase or allocation of shares. AIFC Companies Regulations determine Employee Shares Scheme as “a scheme or arrangement for encouraging or facilitating the holding of Shares in the Company by or for the benefit of:…