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Issue of shares at a premium by a newly incorporated pvt co

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Santhana Krishnan

Santhana Krishnan (Querist)
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02 December 2013 Dear all,

I need a clarification in this:

Can a newly incorporated pvt ltd co. issue shares (shares for a consideration other than cash) at a premium say Rs.25 per share i.e Rs.10 par value plus Rs.25 premium aggregating the issue price to Rs.35 per share?? Please help. Your swift response would be appreciated. Thanks.

Ajay Mishra

Ajay Mishra (Expert)
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03 December 2013 Hi

If your company having valuation report which suggest you to issue shares at premium then you can issued at Rs. 35.

Please take CA certificate of pricing of shares.

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