Biosensors International Group

[CityFarmer]

From wikipedia...
Definition of 'Authorized Share Capital'
The number of stock units that a publicly traded company can issue as stated in its articles of incorporation, or as agreed upon by shareholder vote. Authorized share capital is often not fully used by management in order to leave room for future issuance of additional stock in case the company needs to raise capital quickly. Another reason to keep shares in the company treasury is to retain a controlling interest in the company.

Also be called "authorized stock," "authorized shares" or "authorized capital stock."

Read more: http://www.investopedia.com/terms/a/auth...z20HIMsFC2


Biosensors has around 1.7billion shares issued currently.
Without the shareholders' approval, Biosensors can only issue another 2.4-1.7 = 0.7billion shares more to whoever.
With the approval, Biosensors can issue 0.7 +2.4 = 3.1 billion shares.

=> Company likely to issue new shares to get more money to run its business.
In the process, the current shareholders' stake in the company will be diluted if the new shares are issued at lower than current market price(which is most likely the case).

Or maybe a right issue for every shareholder..

Or maybe issue more share with scrip dividend scheme

Or maybe issue more share with exercising of warrants

Just to add few more....