Transfer of shares by Foreign entity to another foreign entity

Neeta (Finance) (345 Points)

29 December 2010  

Hello Members,

Two foreign companies , say A and B , holds 22 % and 77% of the shares of a Indian Pvt company, respectively. Now A wants to transfer its 22% to B (which is already holding the 77% shares of the company).Whats the procedural involved,??Is there any prior approval of RBI required??? , any filings to be made with RBI?? , Can anyone please throw some lights on the issue asap?? 

Secondly , a foreign national holding 1 share of a Indian Pvt Company wants to transfer the share to a foreign Company holding 98% share of the said Indian Pvt Company. Whats the procedure and filings , if any , required . Please revert asap...

Thanks in advance