A corporation's distribution of its own shares to its shareholders without receiving any payment in return is a

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A distribution of a corporation's own shares without receiving any payment in return is commonly referred to as a share dividend. This is different from a stock split, where the number of shares outstanding increases proportionately but no shares are actually distributed to shareholders. A premium on shares is an additional amount paid above the face value of a share, share subscription is the process of applying for new shares in a company, a discount on shares refers to shares sold at a price lower than their face value, and preferred shares are a type of stock that provides priority in receiving dividends and in the case of liquidation.

A Corporation's Distribution of Its Own Shares to Its Shareholders