Board resolution for buyback of shares under companies act 2016

Buyback is an important provision related to Share Capital of a company. We discussed provisions related to buyback under the Companies Act earlier here.

Rule 17 of the Companies Act set out norms for buyback of securities by the private companies and unlisted public companies. Rule 17 shall read with Section 67 — 70 of the Companies Act The explanatory statement to be annexed to the notice of the general meeting pursuant to section shall contain the following disclosures, namely: The company which has been authorized by a special resolution shall, before the buy-back of shares, file with the Registrar of Companies a letter of offer in Form SH — 8 , along with the fee.

The letter of offer shall be dated and signed on behalf of the Board of directors of the company by not less than two directors of the company, one of whom shall be the managing director, where there is one.

The company shall file with the Registrar, along with the letter of offer, and in case of a listed company with the Registrar and the Securities and Exchange Board, a declaration of solvency in Form SH — 9 along with the fee and signed by at least two directors of the company, one of whom shall be the managing director, if any, and verified by an affidavit as specified in the said Form.

I welcome your comments and feedback. This blog post is not a professional advice. Readers may share this post on social media by using buttons given here.

Index of Companies Law Posts AishMGhrana.

Section 68 of Companies Act, – Power of Company to Purchase its own Securities | Corporate Law Reporter

Amendment in Buyback Law AishMGhrana. You are commenting using your WordPress. You are commenting using your Twitter account. You are commenting using your Facebook account. Notify me of new comments via email.

Notify me of new posts via email. This blog is a knowledge sharing initiative.

RESOLUTION FOR BUY-BACK OF SHARES OR OTHER SECURITIES | AishMGhrana

Views expressed here is of writer; not of the organization s he is working with. This work is licensed under a Creative Commons Attribution-NonCommercial 3. Home About The Author AishMGhrana: Be first among your friends to share this post.

Techmeme

This entry was posted in Chapter IV - CA , Companies Act , Governance and Responsibility and tagged Buyback , Companies Act , Corporate Law , India , Ministry of corporate affairs , The Companies Share Capital and Debentures Rules Index of Companies Law Posts AishMGhrana Pingback: Amendment in Buyback Law AishMGhrana Pingback: Only academic discussion here. Sometime, reply to your mail ID.

To subscribe blog, check homepage. Cancel reply Enter your comment here Fill in your details below or click an icon to log in: Email required Address never made public. Create a website or blog at WordPress.

Send to Email Address Your Name Your Email Address document. Post was not sent - check your email addresses! Sorry, your blog cannot share posts by email.