Splitting of share certificate

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

13 June 2015 Is Board resolution necessary for splitting of share certificate under Companies Act, 2013 or the Board can issue certificate without holding board meeting?

CS Mitesh Mehta

CS Mitesh Mehta (Expert)
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15 June 2015 Yes

Board resolution is necessary

Querist : Anonymous

Querist : Anonymous (Querist)

15 June 2015 Any reference to any section / rules under CA, 2013.

Aashok Kumar Sharma

Aashok Kumar Sharma (Expert)
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25 July 2025 Regarding the **splitting of share certificates** under the **Companies Act, 2013**, here’s the clarification:

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### Is Board Resolution necessary for splitting share certificates?

* **Yes, a Board Resolution is mandatory** before issuing split share certificates.
* The Board must **approve the splitting of shares** and authorize issuance of new certificates.

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### Legal reference under Companies Act, 2013:

* **Section 46(1)** of Companies Act, 2013 states that the company must **issue share certificates** under the authority of the Board.
* **Rule 5 of the Companies (Share Capital and Debentures) Rules, 2014** also governs share certificate issuance and changes, which includes splitting or consolidation.

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### Summary:

* The Board meeting must be convened.
* The Board should pass a resolution approving splitting.
* Based on that resolution, the company issues new share certificates.
* This is a routine corporate governance compliance step.

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If you want, I can help draft a sample Board resolution for splitting share certificates. Would you like that?

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