Health Sciences Group Inc (HESG)

[Starlost]

Doesn't the company need shareholder approval before they can increase the AS?

"Rules Governing the Issuance of Stock

Generally, the board can issue stock without shareholder approval.[34] This power, however, relies on the availability of sufficiently authorized but unissued shares.[35] A company cannot issue more shares than the number of authorized shares of its capital that are not already issued. Thus, the authorized capital sets the upper limit.

The size of the authorized capital, however, is not controlled by the managers alone. The certificate of incorporation includes the amount of authorized shares of the company.[36] Consequently, the shareholders must approve any changes in the number of authorized shares because the shareholders’ approval is needed in order to change the charter of the company.[37]"

http://wakeforestlawreview.com/the-power-to-issue-stock