Share capital consolidation or division requires Tribunal approval, regulator notice, service to stakeholders, and hearing with possible conditions. Applications for consolidation or division of share capital that change shareholders' voting percentages must be filed in Form No. NCLT.1 with Annexure B and must state articles' authorisation, existing and new capital structures, classes and face values of shares, and justification. Companies must advertise the petition and serve registered-post notices with the application to the Regional Director, Registrar of Companies and relevant regulator (including SEBI for listed companies) at least fourteen days before the hearing. Objections received must be served on the Regional Director, Registrar and regulator on or before the hearing. The Tribunal may then pass orders subject to such terms and conditions as it thinks fit.
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.
Share capital consolidation or division requires Tribunal approval, regulator notice, service to stakeholders, and hearing with possible conditions.
Applications for consolidation or division of share capital that change shareholders' voting percentages must be filed in Form No. NCLT.1 with Annexure B and must state articles' authorisation, existing and new capital structures, classes and face values of shares, and justification. Companies must advertise the petition and serve registered-post notices with the application to the Regional Director, Registrar of Companies and relevant regulator (including SEBI for listed companies) at least fourteen days before the hearing. Objections received must be served on the Regional Director, Registrar and regulator on or before the hearing. The Tribunal may then pass orders subject to such terms and conditions as it thinks fit.
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