Directors status after selling all his shares

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Shrikant (Querist)

19 August 2016 Hello All,

A company ABC has 2 directors A and B holding 50% shares. Now they are selling all those shares to other company say XYZ . A and B are already directors of XYZ. Now XYZ intends to appoint A and B as directors in ABC.

So my question is whether A and B has to resign first and then again appointed by XYZ. or no need to do anything

Amol S Joglekar

Amol S Joglekar (Expert)

19 August 2016 I am sure you are aware of the difference between Share Holder and Director....
In the query, you said they are no more share holders.......
Are they having any pre condition as to the becoming the Director of that company? (Which normally is....e.g. qualification shares etc...)

Shrikant

Shrikant (Querist)

19 August 2016 Hello Amol Sir,
thanks for Reply.

There is no pre condition to hold qualification shares.

Shrikant

Shrikant (Querist)

19 August 2016 Hello Amol Sir,
thanks for Reply.

There is no pre condition to hold qualification shares

Amol S Joglekar

Amol S Joglekar (Expert)

19 August 2016 then what is the problem? A and B are already directors in the company.....
at the most their ROLE, JOB profile might get changed...

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