Glossary entry (derived from question below)
Spanish term or phrase:
Normas de prorrateo de la amortización
English translation:
rules for pro rata distribution of the [stock] redemption/buyback
Added to glossary by
Robert Carter
Aug 18, 2020 15:05
3 yrs ago
25 viewers *
Spanish term
Normas de prorrateo de la amortización
Spanish to English
Bus/Financial
Business/Commerce (general)
Hi guys,
This is from the articles of association of a Mexican company and appears as follows:
"En caso de disminución se aplicará ésta proporcionalmente sobre el valor de todas las acciones y la Asamblea fijará las normas de prorrateo de la amortización y la fecha en que las amortizaciones deban surtir efecto."
Thanks!
Nick
This is from the articles of association of a Mexican company and appears as follows:
"En caso de disminución se aplicará ésta proporcionalmente sobre el valor de todas las acciones y la Asamblea fijará las normas de prorrateo de la amortización y la fecha en que las amortizaciones deban surtir efecto."
Thanks!
Nick
Proposed translations
(English)
4 | rules for pro rata distribution of the [stock] redemption/buyback | Robert Carter |
5 +1 | amortization apportionment rules | Patricia Fierro, M. Sc. |
Change log
Sep 9, 2020 16:20: Robert Carter Created KOG entry
Proposed translations
1 day 13 hrs
Selected
rules for pro rata distribution of the [stock] redemption/buyback
This has nothing to do with the English cognate "amortization" in either of its senses (i.e., neither asset depreciation nor loan repayment). No, what this is referring to is an "amortización de acciones" in a reduction of capital stock, what we call a redemption of shares or stock buyback in English. I've seen this hundreds of times in corporate bylaws and minutes of shareholder meetings from Mexico, so I'm positive that's the meaning. My only hesitation is exactly how to word this. Here, I'm adding the word "distribution" because I believe that is what the "prorrateo" part is referring to. I understand it to mean the basis of proportionality of how the buyback is to distribute the capital to the shareholders.
"amortización de acciones - repurchase of shares of stock by a corporation, redemption of stock, stock buyback, share buyback"
Javier F. Becerra, Dictionary of Mexican Legal Terminology, 2nd ed., p 84.
"26 U.S. Code § 302. Distributions in redemption of stock
...
(4)Redemption may be pro rata
Whether or not a redemption meets the requirements of subparagraphs (A) and (B) of paragraph (2) shall be determined without regard to whether or not the redemption is pro rata with respect to all of the shareholders of the corporation."
https://www.law.cornell.edu/uscode/text/26/302
"amortización de acciones - repurchase of shares of stock by a corporation, redemption of stock, stock buyback, share buyback"
Javier F. Becerra, Dictionary of Mexican Legal Terminology, 2nd ed., p 84.
"26 U.S. Code § 302. Distributions in redemption of stock
...
(4)Redemption may be pro rata
Whether or not a redemption meets the requirements of subparagraphs (A) and (B) of paragraph (2) shall be determined without regard to whether or not the redemption is pro rata with respect to all of the shareholders of the corporation."
https://www.law.cornell.edu/uscode/text/26/302
4 KudoZ points awarded for this answer.
+1
15 mins
amortization apportionment rules
Apportionment describes the allocation of a loss between all of the insurance companies that insure a piece of property. Apportionment can refer to real estate or the distribution of economic benefit. Apportionments most often applies when two or more insurance policies are taken out with the same insured party.Mar 29, 2020
Apportionment Definition - Investopedia
Apportionment Definition - Investopedia
Peer comment(s):
agree |
Antonella Perazzoni
1 hr
|
Grazie, Antonella
|
|
agree |
AllegroTrans
1 day 6 hrs
|
disagree |
Robert Carter
: No, it definitely has nothing to do with "amortization", Patricia. ¡Saludos!
1 day 12 hrs
|
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