How to account the journal entry for a share that is issued at $1.00 by company XYZ and bought by another company at $6.00?

I think this is the case of premium issue, that is 1 $ is the face value and rest 5$ is the premium amount.

hence in the book of XYZ company the journal entry will be as follows
1-Bank a/c Dr 6
to share application a/c 6

2-Share application a/c Dr 6
to share capital a/c 1
to share premium a/c 5