Overview
Share transfers, rights issues, bonus issues and preferential allotments each follow a specific statutory process — board and shareholder approvals, valuation where required, ROC filings and register updates. Missing a step can put the validity of the transaction at risk.
We manage the full process for whichever corporate action you need — documentation, approvals, filings and updating your statutory registers — so the transaction is clean and defensible later.
What's included
- Share transfer documentation & filing
- Rights issue process
- Bonus issue process
- Preferential allotment
- Register & share certificate updates
How we approach it
Frequently asked questions
What approvals does a share transfer need?
Typically board approval and, depending on your Articles, compliance with any transfer restrictions such as rights of first refusal.
Is a valuation required for preferential allotment?
Yes, in most cases, especially where shares are issued to non-residents or at a premium.
How long does a rights issue take?
It depends on the notice period and shareholder response time, typically a few weeks end to end.
Is stamp duty payable on a share transfer?
Yes, stamp duty applies on share transfer instruments at the applicable rate, which we factor into the process.
What's the difference between a rights issue and a bonus issue?
A rights issue raises fresh capital from existing shareholders; a bonus issue capitalises reserves into new shares at no cost to shareholders, proportionate to holding.
Do share transfers to NRIs need RBI approval?
Transfers involving non-residents are generally governed by FEMA pricing guidelines and reporting like Form FC-TRS, rather than a separate RBI approval, in most sectors.
Talk to us about Share Transfers & Corporate Actions.
Rashmi K.S. & Associates · Practising Company Secretaries · Balewadi, Pune