Voting power cap for differential rights shares set, and Debenture Redemption Reserve rules revised to prescribe targeted investment and exemption regimes. The Rules cap voting power of equity shares with differential rights at seventy four per cent of total voting power and add company secretary to certain explanatory provisions. The DRR regime requires creation from profits available for dividend, exempts specified financial institutions and banking companies, aligns other financial institutions with NBFC norms, sets ten percent adequacy for certain unlisted companies, prescribes an annual investment/deposit of not less than fifteen per cent of debentures maturing during the year in specified permitted instruments, limits use of such investments to redemption, and applies DRR only to non convertible portions of partly convertible debentures.
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Voting power cap for differential rights shares set, and Debenture Redemption Reserve rules revised to prescribe targeted investment and exemption regimes.
The Rules cap voting power of equity shares with differential rights at seventy four per cent of total voting power and add company secretary to certain explanatory provisions. The DRR regime requires creation from profits available for dividend, exempts specified financial institutions and banking companies, aligns other financial institutions with NBFC norms, sets ten percent adequacy for certain unlisted companies, prescribes an annual investment/deposit of not less than fifteen per cent of debentures maturing during the year in specified permitted instruments, limits use of such investments to redemption, and applies DRR only to non convertible portions of partly convertible debentures.
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