Dear Friends,
Please tell me the procedure for Conversion of Optionally convertible preference shares into equity shares.
Whether a valuation report is required or not.
shares
equity
preference
convertible
optionally
conversion
Yes, the valuation report required as per companies act by registered valuer and for Income tax compliances the valuation report is also taken from SEBI registered merchant bankers.
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share
preference
Hi,
Company wants to issue either Optionally Convertible Redeemable Preference Shares or Plain redeemable preference share on *Right Basis*, they want surety for valuation requirement for issue price, shares are being issued on premium.
As per my understanding Valuation is not required as the same is through right basis to resident. But the client has received a different view from professional that preference share issue requires valuation. Please Confirm
Also for redemption of shares whether valuation will be compulsory?
Thanks in anticipation
shares
preference
redeemable
convertible
optionally
Declaration of any dividend is a special business item which can be transacted at AGM as well as EGM.
The question is that whether dividend given to Preference Shareholders is required to be taken at AGM/EGM when the Company intents to pay the same.
Nature of Preference shares is cumulative in nature. Is resolution passed in board meeting will not be sufficient enough as far as compliance is concerned ?
Because dividend entitlement is already given to Preference Shareholders at the time of issue of shares.
Request to accord inputs please.
shareholders
preference
dividend
Dear Friends
Any one has done the procedure for conversion of the optionally Convertible Non - cumulative preference shares into equity ?
if yes pl share the procedure
shares
into
equity
preference
conversion
regarding
Dear Friends
Any one has done the procedure for conversion of the optionally Convertible Non - cumulative preference shares into equity ?
if yes pl share the procedure
shares
into
equity
preference
conversion
regarding
Can someone please share the documents for the issue of preference shares in a private limited company?
shares
preference
issue
Hello,
Can someone please share the documents for issue of preference shares in private limited company?
shares
preference
issue
Dear Members,
A company has issued redeemable preference shares for 20 years period. In this case, when can the company redeem the preference shares? should it redeem after completion on 20 years or before the expiry of 20 years?
If it can redeem after completion of 20 years, in how days it has to complete all proceedings?
shares
preference
redemption
XYZ Private Limited issued Redeemable Preference Shares worth 50 crores to certain investors. The preference shares were redeemable after a period of 5 years. After two years of the issue, the company and the Investors reach a conclusion to convert these redeemable preference shares into convertible preference shares.
Issues for consideration:
a. Is it possible to change the terms of preference shares? Will such a change from ‘redeemable’ to ‘convertible’ be regarded as a ‘change in terms’?
b. What additional formalities will be required for effecting such a change? What are corporate actions will be required for effecting the change in terms?
c. What is the maximum period up to which preference shares can be issued? Can preference shares be issued at a premium?
preference
shares
convertible
into
redeemable
Dear Members,
Please guide on below mentioned query:
In a Private Company 7,00,000 preference shares of Rs. 10 each are converted into 52,778
equity shares of Rs. 10 each at a premium of Rs. 122.63 per share. No cash is paid to
existing preference shares for this conversion.
Now, in Form SH-7 do I have to select option convert (under head consolidation or division)
or redemption of shares.
What are mandatory attachments required in this matter in Form SH-7. Does any approval from Tribunal is also required?
Further, after approval of Form SH-7, do I have to file Form PAS-3 also.
Request you to please reply as early as possible. Your prompt reply shall be very helpful.
equity
into
shares
preference
conversion
1. Can there be reversal of entry of "Provision of dividend" shown in the B/s for the purpose of payment of dividend to Preference Shareholders (if got approval from the shareholders to not pay the same ) so that the same can be added to retained earnings and utilized for the purpose of redemption of Preference shares ?
2. Can preference shareholders be redeemed on face value less than of issue ? The terms of issue doesn't contain anything about face value and the Companies Act doesn't have a provision on it.
The Company is a Private limited Company and the preference shareholders are promoters of the Company.
dividend
shares
preference
