Issue of Bonus Shares
jayesh ahire
(Querist) 04 July 2011
This query is : Open
A listed co. has made prov in the AOA tht the reserves could be capitalised in the Board meeting & members approval is not required.
the Co. wants 2 make a bonus issue & as per SEBI ICDR Reg, reg 95 it states tht the issuer should implement the bonus issue within 15 days of declaration in case members approval is nt required.
as per listing agreement clause 24a the co. has 2 apply to the stock exchange for prior in principal approval.
It is practically not possible 2 issue bonus shares within 15 days of the Board Meeting as it would take time for the approval from the exchange & 2 fix the Reord date.
in light of the above can you help me interpret clause 95 of SEBI ICDR and can help me with any solution in this matter.
