Hi Friends
I want to reclassify equity shares to Prefernec shares. I know MOA will be amended by Passing OR. but I want to know whether AOA will also be amended or not. My capital clause in AOA is as below:
"The Authorised Share Capital of the Company as mentioned in Clause V of the Memorandum of Association of the Company with power of the Board of Directors to sub-divide, consolidate and increase and with power from time to time, issue any shares of the original capital with and subject to any preferential, qualified or special rights, privileges or conditions as may be, thought fit, and upon the sub-division of shares apportion the right to participate in profits in any manner as between the shares resulting from sub-division."
This is the general clause which most of the Co. adopt, but It doesnot specifically give authorisation to re-classify. Do I need to amend this clause and incorporate word Re-Classify????
CAclubindia
