Share Transfer of Private Company

[Bijay Shrestha]

Dear Experts,

As per definition of a private company, there is restriction in share transfer.

Now I want to know in what cases a private company can transfer its shares ?

Please suggest.

[DR.MARIAPPAN GOVINDARAJAN]

In my view shares may be transferred within the members of the private comapny

AI Summary

Restriction on share transfer in private companies: transfers are permitted among existing members under company restrictions. Private companies have a restriction on share transfer limiting free transferability; consequently, the operative transfer mechanism permitted is inter member transfer, whereby shares may be transferred within the existing members subject to the company's internal restrictions.