Splitting of Share Certificate- Procedure & relevant formats

Article contains Procedure for Splitting of Share Certificate, Format of Request Letter for Splitting of Share Certificate, Format of Board Resolution for Splitting of Share Certificate and Format of Share Certificate split in lieu of Original Share Certificate.

What is the procedure if a shareholder wants to split his share certificate into two share certificates or more?

Procedure for Splitting of Share Certificate

Step 1: He will give a Request letter along with the original share certificate to the Company that he wants to split his share certificate in two share Certificates or more.

Step 2: After receiving the request letter from the shareholder, the Company shall pass a Board resolution for splitting of the share certificate.

Step 3: After approving the split of share certificate, Company shall issue Share Certificate split in lieu of the Original share certificate.

Format of Request Letter for Splitting of Share Certificate

Date:

To

The Board of Directors

______________Limited
Address______________

Subject: Issue of Split share Certificates  

Ref: Folio No. : ______________

Dear Sir/ Madam,

I shareholder of M/s.______________  Limited having Folio No. ______________, request you to split the share certificate bearing share certificate No. ______________comprising of______________ Equity Shares of Rs.______________ – each, the details of which is mentioned hereunder into two Share Certificates of______________ and ___________equity share(s) respectively.

S.No.	Name of the  Shareholder	Ledger Folio No. of Shareholder	Distinctive No. after Share Split		New Certificate No.
			From	To
Share Certificate No. __of ___________ having distinctive no.: _______ into ________Certificates as per details below
1.

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Please find herewith, the Share Certificate surrendered for splitting. Please do the needful.

Yours faithfully,

___________

Address___________

Encl.: As Above

Format of Board Resolution for Splitting of Share Certificate

CERTIFIED TRUE COPY OF THE RESOLUTION PASSED AT THE MEETING OF BOARD OF DIRECTORS OF THE

COMPANY HELD AT THE REGISTERED OFFICE OF THE COMPANY

“RESOLVED THAT pursuant to the applicable provisions of the Companies Act, 2013 (“the Act”) and other relevant provisions of the Act and pursuant to the Articles of Association of the Company, the consent of the Board of Directors of the Company be and is hereby accorded to split the shares as per the following detail:

S.No.	Name of the  Shareholder	Ledger Folio No. of Shareholder	Distinctive No. after Share Split		New Certificate No.
			From	To
Share Certificate No. 1 of Mr. Mukesh Kumar Arora having distinctive no.: 01-5000 into 2 Certificates as per details below
1.

“RESOLVED FURTHER THAT any Director of the Company of the Company be and is hereby severally authorized to authenticate the said share splitting and to sign the share certificates and to do all acts incidental and ancillary to give effect the said splitting for and on behalf of the Company.”

CERTIFIED TRUE COPY

For ———–Limited

Format of Share Certificate split in lieu of Original Share Certificate

____________________PRIVATE LIMITED

(Regd. Off.: ________________________)

Split share certificate issued in lieu of Certificate No. 1

SHARE CERTIFICATE

Authorized Share Capital Rs. ___________/-  divided into

___________/- Equity Shares of Rupees ___________/-  each.

THIS IS TO CERTIFY THAT the person(s) named in this Certificate is / are the Registered Holder(s) of within-mentioned share(s) bearing distinctive number(s) specified in the above Company subject to the Memorandum and Articles of Association of the Company and that the amount endorsed hereon has been paid up on each such share.

EQUITY SHARE EACH OF RUPEES 10/- AMOUNT PAID UP PER SHARE RUPEES 10/-

Registered Folio No.___________ Certificate No.___________ Name(s) of the Holder(s)___________ No. of Share(s) held ** **___________ Distinctive No(s) ** **___________

Given under the Common Seal of the Company at ___________on this___________

Director Director

Authorized Signatory

MEMORANDUM OF TRANSFER OF SHARES MENTIONED OVERLEAF

No. of Transfer	Date of Recognition	Ledger Folio	Name of Transferee	Signature