Share issuance at discount allowed when creditors' debt converts to equity under statutory resolution plans complying with RBI guidelines. The amendment permits a company to issue shares at a discount to its creditors when debt is converted into equity pursuant to a statutory resolution plan or debt restructuring scheme in accordance with guidelines, directions or regulations specified by the Reserve Bank of India, and replaces the term 'discounted price' with 'discount' in the provision.
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 issuance at discount allowed when creditors' debt converts to equity under statutory resolution plans complying with RBI guidelines.
The amendment permits a company to issue shares at a discount to its creditors when debt is converted into equity pursuant to a statutory resolution plan or debt restructuring scheme in accordance with guidelines, directions or regulations specified by the Reserve Bank of India, and replaces the term "discounted price" with "discount" in the provision.
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