Dear Friends,
One of my company infuse money as share application money from outsiders other than existing share holders.
Plz tell me the procedure to allot share through right issue, and plz also give me a draft format for relinquishment of right offer. Very urgent plz help
Dear Mukesh,
Whether your company is private limited company or public Limited Company, if it is private limited company, make them shareholders first by transfering one or more shares;
Hold Board Meeting and approve letter of offer and Send letter of offer to persons who, at the date of the offer are holders of equity shares of company limiting time not being less than fifteen days and not exceeding thirty days from the date of the offer within which the offer, if not accepted shall be deemed to have been declined. see that other shareholders renouces their right to the particular shareholders or declines offer. after expiry of the time specified in the notice, hold board meeting and allot shares to particulars persons by passing resolution, file form PAS-3 and MGT-14 within 30 days from the date of board meeting and issue share certificates.
Dear Prakash Ji thanks for your reply, company is privated limited company.
My question is whether an existing share holder can relinquish his right to an outsider i,e. other than a member.
Thanks
CAclubindia
