Companies Act, 2013

Issue of bonus shares.

63. (1) A company may issue fully paid-up bonus shares to its members, in any manner whatsoever, out of-

(i)	-	its free reserves;
(ii)	-	the securities premium account; or
(iii)	-	the capital redemption reserve account:

Provided that no issue of bonus shares shall be made by capitalising reserves created by the revaluation of assets.

(2) No company shall capitalise its profits or reserves for the purpose of issuing fully paid-up bonus shares under sub-section (1), unless-

(a)

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