TAKEOVER OF AN INDIAN COMPANY BY A FOREIGN COMPANY

[AJIT Tiwary]

Dear Expert,

One of my client is registered in Hongkong/China and a new company incorporated in india. in both of company a person (citizen of india) is a director and shareholder who was NRI last few year but during the financial year 2019-20 is became the resident as per per income tax act,

my question is that during the process of takeover there must be a foreign director and one indian director, now i am confused what will be the procedure, how i proceed because i need to take DPIIT registration.

Thanking you

AI Summary

Guidance Sought on Takeover Procedure: Foreign & Indian Director Requirement, DPIIT Registration for Indian Company A client registered in Hong Kong/China is involved in the takeover of a newly incorporated Indian company. A key individual, who was a non-resident Indian but became a resident in the 2019-20 financial year, is a director and shareholder in both companies. The query seeks guidance on the procedure for takeover, specifically regarding the requirement of having both a foreign and an Indian director, and the necessity of obtaining DPIIT registration. The response requested further clarification for a detailed answer.