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Issue of right shares to holding company by a public company

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Honey Sharma

Executive-CS

33 Points Posted on 12 March 2013

A public company wants to issue right shares to its 100% holding company. However, in accordance with membership requirements of public company, apart from the holding company, 6 nominees of holding company are holding 1 Equity Share each of the public company in respect of which requirements of Section 187C have been complied with.

Is public company required to offer equity shares to the nominee shareholders as well in addition to its 100% holding company, even if they are holding shares as nominee of the holding company and in no other capacity?

Replies (2)

gbalakrishnan

owner

997 Points Posted on 12 March 2013

honey, u can make honey for holding company by ur intellectual capital, think a little studiously ; only for that that company hired you is it not, that way you have to use your intellectual capital as they pay as CS quite a big money, else why should they!

Honey Sharma

Executive-CS

33 Points Posted on 13 March 2013

Sir, I did not get you properly. However, I would appreciate if you post some solution or suggestion in this regard, if you have. I know why companies hire people.