Can Lock in Period Shares be Plegded

6023 views 6 replies

If a company's promoters wants to pledge its shares which are In LOCK IN PERIOD, does they can do this ?

 

 

Replies (6)

i don't think so because purpose of the lock-in is to ensure that promoters do not get unearned gains arising from transaction in stakes, any loopholes that will allow owners to pledge their shares amount to diluting the lock-in condition.  so they cannot pledge the lock in shares.
 

 

Hi,

Locked-in shares can 100% be pledged.

Locked-in shares can be pledged with a Lender (such as a Bank) for a loan. However, the pledge cannot be closed or invoked before the lock-in release date.

You have to provide the details of pledged shares in balance sheet, shareholding pattern and everywhere else as desired by stock exchange.

Regards

Agree with Mr. Ankur.

 

Lock-in period is given so, that promoters do not sell their shares. But, If they require mony or they simply want extra money then they can pledge shares.

completely agree with Ankur sir ji

Dear Anuj can locked in shares be pledge in favour of NBFC's. Someone told me that Regulation 30 of ICDR prohitbits the same. Please suggest..

Can Non promoter Shareholder of the Comapny Pledge their shares? What if their shares are in Lock in?

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 18 June 2026
Article Assistance

RB KESHRI & CO.

Mumbai

CA Inter

View Details
Company
24 June 2026
Chartered Accountant

CA Darshita Shah & Co

Nadiad

CA

View Details
Company
ARTICLESHIP 24 June 2026
CA Article Trainee

Rahul Dang & Associates

Pune

CA Inter

View Details
Company
29 June 2026
Accountant (Finance & Compliance)

TRIEYEZ

Kolkata

CA

View Details
Company
09 June 2026
Accounts Associate

S Madan and CO

New Delhi

Graduate (Any)

View Details
Company
ARTICLESHIP 04 June 2026
Article

Rakhecha & Co.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 29 June 2026
Article Assistant

Alvino Consultancy LLP

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 27 June 2026
Article

SNCO

Mumbai

CA Inter

View Details