What is the minimum issue price for no-par value common shares?

The concept of no-par value common shares implies that these shares do not have a minimum price set by the issuing company or determined by law at the time they are issued. Instead, the price at which no-par value shares can be issued is typically determined by the board of directors based on the fair market value or other relevant factors of the corporation at the time of issue.

In jurisdictions where no-par value shares are allowed, the board can choose to issue them at any price they believe is appropriate, which could be as low as nominal value above zero. This flexibility in pricing is one of the advantages of issuing no-par shares compared to par value shares, where a minimum issuance price is often set by law.

In this context, while P5.00 might be a reasonable price determined by the board for issuing shares, the key point is that there is no strict legal minimum for no-par value shares. Hence, they can technically be issued at values lower than P5.00 as long as they comply with corporate governance rules and market practices.

Therefore, the correct view highlights that for no-par value common shares, there isn't a mandated minimum issue price, which underlines their flexibility and the discretion afforded to the business to determine suitable pricing based on