25 March 2011
Whether sub division of existing shares of the company can be termed as 'allotment' as it is division of existing shares of the company into definate number of shares (larger in numbers than existing) each of particuler value (smaller than existing) and assignment of such larger number of shres to the holders of existing shares. (though the total value of those shares remains same)
further to above query, whether it is correct to pass a resoltion in board meeting that share certifecate for the subdivided sharesv will be issued to the respective shareholders without receipt of the old share certificates and all old share certificates stand cancelled.
If above resolution is possible, then any additional procedure thich needs to be followed?
CAclubindia
