URGENT: SHARE WARRANT

[GIRIJA NAGVEKAR]

Dear All,

Query is reg: SHARE WARRANT.

1) Can pvt ltd company issue share warrants?
2) Can pvt ltd company issue share warrant not in compliance with companies act?
3) In case AOA of the pvt ltd company does not contain provision to issue share warrant, can it still issue share warrants?
4) Pvt Ltd company intends to get converted into public ltd company, but in mean time wants to issue share warrants, can it be done?
5) for issue of share warrant, BOD resolution or special resolution & members approval is required in GM?
6) procedure for issue of share warrant.

Kindly resolve.

Regards,

Girija

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CS Girija Nagvekar

Company Secretary

9960285296

[GIRIJA NAGVEKAR]

[GIRIJA NAGVEKAR]

Dear All,

Can anybody please resolve the query of :

1) issue of Share warrant by pvt ltd company when there is no provision in AOA.

2) Further the company intends to issue share warrants as per their terms and not in terms of the Companies Act, 1956.

Regards,

Girija

[kameswara Rao Kappagantula]

As per me the Private Companies Do not eligible for Share Warrants.

 

The act expressly given that power to Public Companies Only.

 

Kamesh

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[GIRIJA NAGVEKAR]

Dear Sir,

What in case  pvt ltd company intends to issue share warrants ?

Can pvt ltd company alter AOA to include provision for issue of share warrant.

Regards,

Girija

[kameswara Rao Kappagantula]

Even if u alter AOA and issue warrants the act is in violation of the Act.

 

if u issue warrants and the p[erson to who u issued warrants are not members except for those matters for whi8ch Public COmpanies can treat them as members.

 

Then the baisc structure as a Private Company is in doubt?

[GIRIJA NAGVEKAR]

Dear Sir,

The pvt ltd company is intending to convert to public ltd company, then shall i consider the following steps such as:

1) apply for conversion of pvt ltd to public ltd

2) alter the articles accordingly,

3) after conversion issue share warrants.

Can the aforesaid procedure be done.

Regards,

Girija

[kameswara Rao Kappagantula]

 

ok but u need CG approval for issue of Warrants and warrants can be issue for Fully paid-up shares only.

 

Further the New Companies Bill is proposing to done away with the Share Warrants concept.

 

 

 

Kamesh