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Querist : Anonymous

Querist : Anonymous (Querist)

05 October 2013 sir, y right shares are issued only for existing share holders? y not for general public?

Sanket

Sanket (Expert)
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05 October 2013 Right shares are the shares which are
offered by the company to the
existing shareholders.Simply stated
the existing shareholders have a
right to subscribe for the shares
which are offered by the company
after initial allotment until some
special right is reserved for any
other person by special resolution in
this respect.
Section 81 i.e Further issue of capital
of companies act 1956 deals with this
and it states that where at any time
after the expiry of two years from
the formation of a company or at
any time after the expiry of one year
from the allotment of shares in that
company made for the first time
after its formation, whichever is
earlier, it is proposed to increase the
subscribed capital of the company by
allotment of further shares.

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CA Pallav Singhania

CA Pallav Singhania (Expert)
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05 October 2013 A rights issue is a way in which a company can sell new shares in order to raise capital. Shares are offered to existing shareholders in proportion to their current shareholding, respecting their pre-emption rights.

Pre-emption rights are the rights of shareholders to be offered any new issue of shares before the shares are offered to non-shareholders.

The purpose of pre-emption rights is to ensure that shareholders have an opportunity to prevent their stake being diluted by new issues.

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Querist : Anonymous

Querist : Anonymous (Querist)

11 October 2013 thanks a lot sirrr...:)

Querist : Anonymous

Querist : Anonymous (Querist)

11 October 2013 sir pls can u suggest me sme authors ipcc group 1 books...

CA Pallav Singhania

CA Pallav Singhania (Expert)
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11 October 2013 For Cost-Fm Paduka is a good book

Tax- Girish Ahuja / V.K Singhania

Accounts- P.C. Tulsian

Law- Munish Bhandari

However, Ins. Practice manuals and RTPs are must to score good marks..

regards,

Querist : Anonymous

Querist : Anonymous (Querist)

14 October 2013 thanks a lot sir..