Further issue of share capital: pre-emptive offers, renunciation rights, ESOP allocations, and valuer based special resolution issuances. Section 62 requires proposed increases in subscribed capital to be offered pro rata to existing equity shareholders by notice with a specified acceptance period and a stated renunciation right; unaccepted shares may be disposed of by the board not disadvantageously. Alternatives permit issuance to employees under an ESOP by special resolution, or to any persons by special resolution with price determined by a registered valuer. Conversions from convertible debentures or loans are excluded where pre-approved by special resolution, but government-directed conversions may be ordered and, if implemented, increase authorised capital and alter the memorandum.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Further issue of share capital: pre-emptive offers, renunciation rights, ESOP allocations, and valuer based special resolution issuances.
Section 62 requires proposed increases in subscribed capital to be offered pro rata to existing equity shareholders by notice with a specified acceptance period and a stated renunciation right; unaccepted shares may be disposed of by the board not disadvantageously. Alternatives permit issuance to employees under an ESOP by special resolution, or to any persons by special resolution with price determined by a registered valuer. Conversions from convertible debentures or loans are excluded where pre-approved by special resolution, but government-directed conversions may be ordered and, if implemented, increase authorised capital and alter the memorandum.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
AI OCR ✕
of 
TaxTMI 
TaxTMI 
