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Special Settlement Special Settling Day

shares, share and issued

SPECIAL SETTLEMENT. SPECIAL SETTLING DAY. The day fixed by the London Stock Exchange committee for the settlement of sales and purchases of shares in a new company.

When an application is made to the committee for a special settlement, various documents and particulars must be sent to the secretary of the share and loan depart ment. For example, for shares of new companies there must be sent : The certificate of incorporation. A speci men of the share certificate. A copy of the prospectus, the statement in lieu of pros pectus as filed with the registrar of joint stock companies, circular or advertisement relating to the issue. A specimen call letter. Certified printed copies of contracts relating to the issue of shares credited as fully or partly paid. A letter from the secretary of the company, stating : (1) That the share certificates are ready to be issued.

(2) The distinctive numbers of the shares allotted, (a) to the public, (b) to the vendors.

(3) The particulars of the company's capital.

(4) The nominal amount of each share, and the amount paid in cash or credited as paid on each share. (5) In cases where the whole of the capital has not been issued at the time the application is made, whether the unissued shares are vendors' shares or are held in reserve for future issue.

By Rule 13S, " The secretary of the share and loan department shall give three days' public notice of any application for a special settling-day in the shares or other securities of a new company previously to such appli cation being submitted to the committee, who \ appoint a special settling-day, provided that sufficient certificates or scrip are ready for delivery. The committee will not fix a special settling-clay for bargains in shares or securities issued to the vendors, credited as fully or partly paid, until six months after the date fixed for the special settlement in the shares or securities sub scribed for by the public, but this does not necessarily apply to re-organisations or amalgamations of existing companies, or to cases where no public shares are issued, or to cases where the vendors take the whole of the shares issued for cash." (See SETTLING DAYS, STOCK EXCHANGE.)