Redemption of preference shares

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

28 February 2012 a company does not have sufficient funds to redeem its prefernce shares it wants the prefernce shares to continue as it is , is it possible if yes plz also give the procedure

Ajay Mishra

Ajay Mishra (Expert)
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28 February 2012 Hi

Yes you can, but it will decide between company and shareholders that it will redeems or issue fresh preference shares or fresh issue of capital.

Regards

Guest

Guest (Expert)

28 February 2012 Preference shares should be redeemed as per its terms of issue.

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