Classes of shares:

A class of shares is a type of listed company stock that is differentiated by the level of voting
rights shareholders receive. For example, a listed company might have two share classes, or
classes of stock, designated as Class A and Class B.
Class A shares refer to a classification of common stock that was traditionally accompanied by
more voting rights than Class B shares. However, there is no legal requirement that companies
structure their share classes this way. For example, Facebook awards more voting rights to
Class B shares. In any case, the share class with the most voting rights is typically reserved for
the company's management team.
Types of Shares:
Ordinary shares
Ordinary shares are the main type of share(s) among private limited Companies. In such companies, all
shareholders will have the same rights. The holder(s) of ordinary share(s) are generally entitled to:-

(1) Attend General Meetings and vote: Ordinary shareholders can participate in internal corporate
governance through attending annual meetings and voting. They are allowed to vote on important
matters such as appointing directors. They can have one vote per share subject to the Company’s
Constitution;

(2) Share in Company’s profits: Shareholders can receive dividends if the Company has made profits and
decided to distribute them;

(3) Have a distribution on winding up: If the Company is wound up, shareholders entitled to any
remaining assets of the Company after all its debts are cleared;

(4) Limited liability: Shareholders are protected against the financial obligations of the Company and are
only liable for the value of their shares.

Preference shares
Preference shares commonly give some sort of benefit or preferential rights to the holder(s) over and
above the rights of Ordinary shareholders. Those rights and benefits to the Preference share(s) will vary
from Company to Company and should be set out in the Company’s Constitution in accordance with the
Singapore Companies Act. Most Preference shares provide their holders with:-

(1) fixed or preferential rights to a dividend;

(2) priority claims on the assets upon liquidation of the Company;

(3) redeemable shares: the Company may “buy back” the Preference shares from the holder at a fixed
price; or

(4) convertible shares: the holder can exchange Preference shares for other capital instruments (such as
convertible notes) issued by the Company.
Issuance of Shares:
Issue of Shares is the process in which companies allot new shares to shareholders.
Shareholders can be either individuals or corporates. The company follows the rules prescribed
by Companies Act 2013 while issuing the shares. ... The process of creating new shares is known
as Allocation or allotment.
Market Value of Shares:
The market value is the value of a company according to the financial markets. The market
value of a company is calculated by multiplying the current stock price by the number of
outstanding shares that are trading in the market. Market value is also known as market
capitalization.
Share Capital and Share Premium:
Share capital can be brought into a company by paying up issued shares in cash or in kind.
Share premium can be brought into a company by a contribution in cash or in kind on the
existing shares of a company.