CG50295 - Definitions: issue of shares: letters of allotment: bonus issues
Just because a letter of allotment is renounceable does not mean it is provisional. For example, a public company making a bonus issue will, normally, issue renounceable letters of allotment to its existing shareholders. »Ê¹ÚÌåÓýapp shareholder is absolutely entitled to receive the free shares and the right is not provisional. If the shareholder renounces or sells their allotment then this will be treated as a disposal of the shares and not of the right to receive the shares.