Swati Joshi (Cost Accountant) (44 Points)
09 May 2011Can a Private Limited company issue equity shares at differential dividend rights?
e.g:
Class A- Equity Shares at 100 % dividend right
Class B - Equity Shares at 50% dividend right
Class C - Equity Shares 10% voting rights and so on
Does section 86 is applicable to Pvt Ltd Company as well?
Dhruv
(Chartered Accountant)
(308 Points)
Replied 09 May 2011
Yup it is applicable to the both private and public limited companies. The rules as mentioned in the section are attached with my post.
CAclubindia
