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?
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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.
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
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
____________________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/- |
| 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 |
Author Bio
Sirohi bhai thanks for this article…
If new certificate is issued in lieu of old for splitting shares, What will be the date for issuing the splitted certificate. Original Date of allotment ? or Issue of Splitted Certificate ?
Please advise if stamp duty is payable on the splitting of shares
I want an advice regarding the below case,
A shareholder is having 1,00,000 equity shares through 35 share certificates having different distinctive numbers series (e.g.1-1000, 2501-3000, 3901-4000 etc.). Can the company issue a single share certificate mentioning the different series of distinctive number on the certificate.?
Thanks in advance.
Yes