Can you let me know the procedure for issue of convertible preference shares by a private limited company.
Gagandeep Kaur (CS) (32 Points)
14 March 2012Can you let me know the procedure for issue of convertible preference shares by a private limited company.
CS Aditya Agrawal
(PCS)
(110 Points)
Replied 14 March 2012
Check whether the issue is within the limit of Authorised capital, if not take the steps to increase authorised capital first.
if within the authorised capital :
Hold Board Meeting pass the resolution to issue and allot the shares.
File form 2 within 30 days from the date of BM.
Pay stamp duty
issue the share certificate within 3 months from the date of allotment of shares.
CS Smriti Sharma
(ACS, B Samrish & Co.)
(880 Points)
Replied 14 March 2012
Provisions of Section 81 are not applicable to Private Limited Company. Therefore issue to be guided by AOA of the Company.
Muazzam Bandarkar
(Articles Assisstant)
(26 Points)
Replied 21 May 2013
Issue of Convertible Preference shares and shares with diversified voting rights by Indian Pvt Ltd Co for a NRI & PIO & NR
Non repartiable as well as repartiable
CAclubindia
