Definition of share premium in English:

share premium

Line breaks: share pre|mium

noun

Finance
  • The amount by which the amount received by a company for a stock issue exceeds its face value: reduction of share capital or share premium account
    More example sentences
    • None of this is evidence that the share premium is set to decline as investors and unit-trust managers jump into the market.
    • ‘These costs have not been recognised and will be charged to the share premium account,’ said the prospectus.
    • The telecom giant announced on Wednesday that it would seek shareholder approval to wipe out its entire share premium account balance at the end of 2003 in a capital reduction exercise.

Get more from Oxford Dictionaries

Subscribe to remove adverts and access premium resources

Word of the day maelstrom
Pronunciation: ˈmeɪlstrəm
noun
a powerful whirlpool in the sea