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Section54

Corporate & Other Laws

Can private company issue sweat equity shares ?


Swathi Krishna

Swathi Krishna

CA Final

8K+

26-Jul-20 12:59

369

Answers (2)

A company other than a listed company, which is not required to comply with the Securities and Exchange Board of India Regulations on sweat equity, shall not issue sweat equity shares to its directors or employees at a discount or for consideration other than cash unless authorized by special resolution. Hence, private company can issue sweat equity shares.


Lavanya Chitturi

Lavanya Chitturi

CA Inter

895

27-Jul-20 02:43

Thax


Thread Starter

Swathi Krishna

Swathi Krishna

CA Final

8K+

27-Jul-20 09:13

Offer