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About Private Company

15 October 2017

If any public company hold 50% or more in Pvt. company then that Pvt. company is deemed to be public company so my question is what compliance Pvt have to do if it is public company then they issue sure to public also or not?

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5 Replies

Akshit Gadhia (5 Points)
Replied 15 October 2017

sorry at last it's not sure it's Issue

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Ankush Khurana (33 Points)
Replied 16 October 2017

go through proviso of sec2(71)

Ankush Khurana (33 Points)
Replied 16 October 2017

subsidiary of public company shall be deemed which is private company shall be deemed as public & continually articles will have those three restrictions as were before

Ankush Khurana (33 Points)
Replied 16 October 2017

shares shall not be issue to public
& can't even transfer it's shares to public but there is one exception if share holder of pvt co. wants to sell his shares first will have to offer to existing shareholder if they are not willing to purchase then shares can be transfer to public