Transfer of shares to a foreign company
This query is : Resolved
19 March 2012
Dear Sir,
Please tell me the procedures to transfer 51% shares of a Private Ltd Company to a Foreign Company.
Is there any permission is required to get from RBI??
And whether FEMA will attracts???
Yours Faith Fully
Please tell me the procedures to transfer 51% shares of a Private Ltd Company to a Foreign Company.
Is there any permission is required to get from RBI??
And whether FEMA will attracts???
Yours Faith Fully
19 March 2012
Hi
Yes, please check you are permitted to transfer 51% shares to NRI. Read master circular issued by RBI on FDI.
If you give email id, I will send the FDI circular.
Regards
Yes, please check you are permitted to transfer 51% shares to NRI. Read master circular issued by RBI on FDI.
If you give email id, I will send the FDI circular.
Regards
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20 March 2012
Sir,
my email id is sanishpbalan@gmail.com.
Kindly send me the master circular issued by RBI on FDI.
Sir,
my email id is sanishpbalan@gmail.com.
Kindly send me the master circular issued by RBI on FDI.
20 March 2012
Hi
I have send the same.
I have send the same.
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20 March 2012
Thank you sir
20 March 2012
Sir,
Please tellme the procedure to Register a Company as a Subsidiary of a Foreign company in India.
Please tellme the procedure to Register a Company as a Subsidiary of a Foreign company in India.
20 March 2012
Hi
Please read the circular for the same to establish office and place of business in India issued by RBI on RBI portal.
I am mentioning the basic idea here under:
NON-RESIDENT INDIAN AS SUBSCRIBER TO THE MOA/AOA
The Reserve Bank of India had given general permission under section 29(1)(b) of the former FERA, 1973 to NRI to subscribe to the MOA of an Indian company and to take shares as a subscriber .(Notification No. FERA 143/93-RB, dated 26-4-1993 issued by RBI, Mumbai in this regard is reproduced hereunder:
“The RBI has given general permission to NRI to subscribe to the MOA/AOA of Indian Company for the purpose of Incorporation of the company subject to the condition that:-
(a) the total face value of the shares to be taken by NRI does not exceed Rs. 10,000
(b) the company is being manly formed for undertaking industrial activities
(c) the MOA of such company does not permit the company to take up any agriculture/plantation activities and to deal in real estate business other than developing real estate, and
(d) such company shall file a declaration in the prescribed form with the RBI regarding particular of such shares issued within 900days from the date of incorporation of the company.
DCA Circular dated 16-2-1995 clarifies that there can not be any restriction for incorporation of a company whether all the subscriber to the MOA/AOA/ proposed directors are residing abroad, being either foreign nationals, or NRI subject to the approval of RBI, where necessary.
The RBI may issue such a general permission also under FEMA, 1999 also. The FEMA(Permissible Capital Account Transactions) Regulations, 2000 allow persons resident outside India to invest in an issue of security by body corporate or an entity in India.
Please read the circular for the same to establish office and place of business in India issued by RBI on RBI portal.
I am mentioning the basic idea here under:
NON-RESIDENT INDIAN AS SUBSCRIBER TO THE MOA/AOA
The Reserve Bank of India had given general permission under section 29(1)(b) of the former FERA, 1973 to NRI to subscribe to the MOA of an Indian company and to take shares as a subscriber .(Notification No. FERA 143/93-RB, dated 26-4-1993 issued by RBI, Mumbai in this regard is reproduced hereunder:
“The RBI has given general permission to NRI to subscribe to the MOA/AOA of Indian Company for the purpose of Incorporation of the company subject to the condition that:-
(a) the total face value of the shares to be taken by NRI does not exceed Rs. 10,000
(b) the company is being manly formed for undertaking industrial activities
(c) the MOA of such company does not permit the company to take up any agriculture/plantation activities and to deal in real estate business other than developing real estate, and
(d) such company shall file a declaration in the prescribed form with the RBI regarding particular of such shares issued within 900days from the date of incorporation of the company.
DCA Circular dated 16-2-1995 clarifies that there can not be any restriction for incorporation of a company whether all the subscriber to the MOA/AOA/ proposed directors are residing abroad, being either foreign nationals, or NRI subject to the approval of RBI, where necessary.
The RBI may issue such a general permission also under FEMA, 1999 also. The FEMA(Permissible Capital Account Transactions) Regulations, 2000 allow persons resident outside India to invest in an issue of security by body corporate or an entity in India.
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20 March 2012
Thank you sir..Thank you Very Much.........
20 March 2012
Hi
I will suggest you to read this circulars and their latest update from RBI portal carefully.
All the best.....
I will suggest you to read this circulars and their latest update from RBI portal carefully.
All the best.....
22 March 2012
hello ajay..can i get your mail id ?
22 March 2012
Sure:
ajaygkp@gmail.com and csajaygkp@gmail.com
Sure:
ajaygkp@gmail.com and csajaygkp@gmail.com
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