What Powers does a Company need to Issue New Shares?
What Powers are needed for a Company to Issue New Shares?
The directors of a private company with only one class of shares do not need shareholder authority to allot shares of that class. Private companies with more than one class of shares (and public companies) require shareholder authority in order for the directors to issue new shares. This can either be by a provision in the company’s articles of association or by ordinary resolution of its shareholders.