29 June 2011
the authorised capital of my company is as follows: 150000 equity sharesof Rs.2 each 100000 5% Non. cumulative Pref.Shares of Rs.2 each.
the company had issued 50000 pref. shares which was to be redeemed during march 2011. The company doesnot have sufficient profits to redeem the same. My query is whether the pref.shares due for redemption be converted into equity.What compliances are required for it.Also, if the above is converted into equity sh., the authorised capital of equity will increase.is reconstitution of authorised capital is possible.wat compliances are required.
CAclubindia
