Ordinary Resolution For Increase In Authorised Share Capital

Ordinary-Resolution-Increase-In-Authorised-Share-Capital

Ordinary Resolution For Increase In Authorised Share Capital

RESOLVED THAT pursuant to Section 61(1)(a) and other applicable provisions, if any, of the Companies Act, 2013 and Article ... of the Articles of Association of the company, the Authorised Share capital of the company be and is hereby increased from Rs.50,00,000 (Rupees fifty lakh) divided into 5,00,000 (five lakh) equity shares of Rs.10 each to Rs. 5,00,00,000/- (Rupees five crore) divided into 50,00,000 (fifty lakh) equity shares of Rs.10 (Rupees ten) each by creation of 45,00,000 equity shares of Rs.10 each ranking pari passu in all respect with the existing equity shares.”

FURTHER RESOLVED THAT for the purpose of giving effect to this resolution, Shri ………………….. of the Company be and is hereby authorised, on behalf of the Company, to do all acts, deeds, matters and things as deem necessary, proper or desirable.

(Note: If the Articles of Association prescribe that a special resolution is required for increase of authorized share capital, pass the resolution as a special resolution.)

Explanatory Statement

The directors of the company have felt that for profitable working of the company, the company needs more funds in the form of equity share capital. The present authorised share capital of the company is only Rs.50,00,000 (Rupees fifty lakhs) divided into 5,00,000 (five lakh) equity shares of Rs.10/- (Rupees ten) each and the entire authorised share capital has been issued, subscribed and paid up. The Board, therefore, decided that the authorised share capital of the company be increased to Rs.5,00,00,000 (Rupees five crore) divided into 50,00,000 (fifty lakh) equity shares of Rs.10/- (Rupees ten) each.

Hence the proposed resolution is recommended for consideration of and approval by the shareholders of the company.

None of the directors is concerned or interested in the proposed resolution.
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