Is this mean the "Right" can be give up / transferred to any other person??
Let's say "A" shareholder got rights and transferred to Non-shareholder "B" and now "B" became a shareholder of that company
If YES, Is this like a BACKDOOR of IPO/FPO/B not purchased shares in stock market to become shareholder? So companies can skip regulations of public issues?
1. This transaction is valid and allowed in Law.
2. You can call it as back door entry.
@ divesh sir, for listed COs rights can be renounced only through stock exchanges. So this backdoor for listed means indirectly purchasing shares from stock market? Am I correct?
Abic and Mani Chartered Accountants
Kottayam
B.Com
View Details
CA Suraj Garg & Associates
New Delhi
CA Final
View Details
KK & Company Chartered Accountant
Pune
CA Inter
View Details
Malhotra Rajesh & Associates
New Delhi
B.Com
View Details
CCI
Pro
CAclubindia
