Want to know about share transer deed

Buddy,

As per Section 108 (1A) of Indian Companies Act, 1956 a Company can transfer the shares using the Share Transfer Form No.7B.

Share Transfer Deed is used as it contains fully details of:

1) Company

2) Shares ( Equity or Debenture and its distinction & certificate number )

3) Transferor ( and his details )

4) Transferee ( and his details )

5) Consideration value

6) Stamp Value

7) etc....,

This is an evidence and an instrument to express the willingness of the transfer. 

Procedure: 

Share Transfer Deed has to be prepared by the shareholder who wish to transfer his shares and send it along with the original share certificate to the company. A Board meeting has to be conducted and the transfer should be authorized.