{"id":2606,"date":"2021-05-11T01:06:33","date_gmt":"2021-05-11T01:06:33","guid":{"rendered":"https:\/\/enorcerna.com\/wiki\/definition\/redeemable-action\/"},"modified":"2021-05-11T01:06:33","modified_gmt":"2021-05-11T01:06:33","slug":"redeemable-action","status":"publish","type":"post","link":"https:\/\/enorcerna.com\/wiki\/definition\/redeemable-action\/","title":{"rendered":"Redeemable action"},"content":{"rendered":"<div>\n<p>\n<span itemprop=\"description\"><strong>A redeemable share is one that can be redeemed or redeemed, at the request of the holders of the shares (shareholders), the issuing entity or by both.  They are issued with the main objective of seeking financing from the company.<\/strong><\/span><\/p>\n<p><span id=\"more-20204\"\/><\/p>\n<p>It is in the issuance agreement, where the conditions under which the rescue can be made are set.  The redemption right can be attributed exclusively to the issuer, although in that case the term in which they can be redeemed is usually restricted.  In Spain, for example, when there is exclusivity on the part of the issuer, up to three years after the issuance of the shares, they cannot be redeemed.<\/p>\n<p>The main feature of a redeemable share is its time horizon.  After a certain period of time, these shares are amortized.  At the same time that its value is reimbursed to the owner of the same.  This is something that does not happen with ordinary shares.  Well, they have a permanent nature, so their owners have no obligation to dispose of them.<\/p>\n<p>Except for this difference, redeemable shares confer on their holders the same rights as ordinary shares:<\/p>\n<ul>\n<li>To obtain a dividend.<\/li>\n<li>Preferential subscription right.<\/li>\n<li>Right of attendance<\/li>\n<li>Vote at the General Shareholders' Meeting.<\/li>\n<\/ul>\n<p>In addition, redeemable shares may have other added rights.  Rights such as early amortization or preference in dividends.  That is, the possibility of receiving dividends before ordinary shares.  It is important to go into detail in these aspects<\/p>\n<h2>Main requirements for the issuance and redemption of redeemable shares<\/h2>\n<p>Only listed companies can issue redeemable shares;  provided they do not exceed 25% of its share capital and are fully paid up at the time of acquisition.  The issuance agreement establishes the rest of the conditions governing the process of issuance, acquisition and redemption of these shares.  Importantly, the redemption price must be set in this agreement.<\/p>\n<h2>Functions of redeemable shares<\/h2>\n<p>Every business society has a series of financing needs.  For this, the company has access to a wide variety of external resources (credits, loans, discounts, etc.).  However, there are a number of circumstances in which the company may be interested in an increase in equity through the issuance of new shares, but on a temporary basis.  Thus, the redeemable action figure was created, which allows society to satisfy this need at specific times, with moderate urgency.<\/p>\n<p>On the other hand, this type of action offers a further investment possibility.  It has short- or medium-term liquidity for a predetermined value in the issuance agreement and usually includes a redemption premium (an additional price that the issuing entity pays to the shareholder).  In addition to all this, said agreement also usually offers the shareholder the possibility to decide when they want to redeem the share, which increases their freedom of decision.<\/p>\n<p>The redeemable shares are more aimed at those people who want to enjoy the economic rights offered by the shares and a rapid amortization of the same.  Although these also include political rights, as they are temporary, their influence on the management of the company is practically nil, compared to the holders of ordinary shares.<\/p>\n<\/div>\n\n\n<div class=\"kk-star-ratings kksr-auto kksr-align-center kksr-valign-bottom\"\n    data-payload='{&quot;align&quot;:&quot;center&quot;,&quot;id&quot;:&quot;2606&quot;,&quot;slug&quot;:&quot;default&quot;,&quot;valign&quot;:&quot;bottom&quot;,&quot;ignore&quot;:&quot;&quot;,&quot;reference&quot;:&quot;auto&quot;,&quot;class&quot;:&quot;&quot;,&quot;count&quot;:&quot;0&quot;,&quot;legendonly&quot;:&quot;&quot;,&quot;readonly&quot;:&quot;&quot;,&quot;score&quot;:&quot;0&quot;,&quot;starsonly&quot;:&quot;&quot;,&quot;best&quot;:&quot;5&quot;,&quot;gap&quot;:&quot;4&quot;,&quot;greet&quot;:&quot;Rate this post&quot;,&quot;legend&quot;:&quot;0\\\/5 - (0 votes)&quot;,&quot;size&quot;:&quot;24&quot;,&quot;title&quot;:&quot;Redeemable action&quot;,&quot;width&quot;:&quot;0&quot;,&quot;_legend&quot;:&quot;{score}\\\/{best} - ({count} {votes})&quot;,&quot;font_factor&quot;:&quot;1.25&quot;}'>\n            \n<div class=\"kksr-stars\">\n    \n<div class=\"kksr-stars-inactive\">\n            <div class=\"kksr-star\" data-star=\"1\" style=\"padding-right: 4px\">\n            \n\n<div class=\"kksr-icon\" style=\"width: 24px; height: 24px;\"><\/div>\n        <\/div>\n            <div class=\"kksr-star\" data-star=\"2\" style=\"padding-right: 4px\">\n            \n\n<div class=\"kksr-icon\" style=\"width: 24px; height: 24px;\"><\/div>\n        <\/div>\n            <div class=\"kksr-star\" data-star=\"3\" style=\"padding-right: 4px\">\n            \n\n<div class=\"kksr-icon\" style=\"width: 24px; height: 24px;\"><\/div>\n        <\/div>\n            <div class=\"kksr-star\" data-star=\"4\" style=\"padding-right: 4px\">\n            \n\n<div class=\"kksr-icon\" style=\"width: 24px; height: 24px;\"><\/div>\n        <\/div>\n            <div class=\"kksr-star\" data-star=\"5\" style=\"padding-right: 4px\">\n            \n\n<div class=\"kksr-icon\" style=\"width: 24px; height: 24px;\"><\/div>\n        <\/div>\n    <\/div>\n    \n<div class=\"kksr-stars-active\" style=\"width: 0px;\">\n            <div class=\"kksr-star\" style=\"padding-right: 4px\">\n            \n\n<div class=\"kksr-icon\" style=\"width: 24px; height: 24px;\"><\/div>\n        <\/div>\n            <div class=\"kksr-star\" style=\"padding-right: 4px\">\n            \n\n<div class=\"kksr-icon\" style=\"width: 24px; height: 24px;\"><\/div>\n        <\/div>\n            <div class=\"kksr-star\" style=\"padding-right: 4px\">\n            \n\n<div class=\"kksr-icon\" style=\"width: 24px; height: 24px;\"><\/div>\n        <\/div>\n            <div class=\"kksr-star\" style=\"padding-right: 4px\">\n            \n\n<div class=\"kksr-icon\" style=\"width: 24px; height: 24px;\"><\/div>\n        <\/div>\n            <div class=\"kksr-star\" style=\"padding-right: 4px\">\n            \n\n<div class=\"kksr-icon\" style=\"width: 24px; height: 24px;\"><\/div>\n        <\/div>\n    <\/div>\n<\/div>\n                \n\n<div class=\"kksr-legend\" style=\"font-size: 19.2px;\">\n            <span class=\"kksr-muted\">Rate this post<\/span>\n    <\/div>\n    <\/div>\n","protected":false},"excerpt":{"rendered":"<p>A redeemable share is one that can be redeemed or redeemed, at&hellip;<\/p>\n","protected":false},"author":1,"featured_media":2607,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[],"class_list":["post-2606","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-definition"],"_links":{"self":[{"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/posts\/2606","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/comments?post=2606"}],"version-history":[{"count":0,"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/posts\/2606\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/media\/2607"}],"wp:attachment":[{"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/media?parent=2606"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/categories?post=2606"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/tags?post=2606"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}