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Can company authorize share capital of rs 25 crores


30-Apr-2023 (In Corporate Law)
Can a company having authorised share capital of 25cores isuue 750cores preference share capital ??
Answers (3)

Answer #1
753 votes
No. Technically, Preference Share Capital is a sub-set of Authorised Share Capital. It cannot be larger than Authorised Share Capital.

Also, you may want to check the Capital clause of the company in its Memorandum of Association to understand the maximum permissible limit of each type of shares.
Answer #2
754 votes
Authorised share capital can be 25 CR. It depende up on the management of company how much to disclose or not.
Authorised share capital can be 25 CR. It depende up on the management of company how much to disclose or not.
Authorised share capital can be 25 CR. It depende up on the management of company how much to disclose or not.
Authorised share capital can be 25 CR. It depende up on the management of company how much to disclose or not.
Authorised share capital can be 25 CR. It depende up on the management of company how much to disclose or not.
Answer #3
877 votes
No. The authorised capital is the maximum amount of capital which a company can raise through shares. This means that your shared capital is limited up to the authorised capital.

In your query; the shared capital cannot exceed the authorised share capital.

Hope your query has been resolved.

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