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 ... Summary
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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