ABC Limited, is a newly formed manufacturing company by a prominent industrial house. Within 3 years of its incorporation, it has issued its first bonus shares. Considering its overall business performance, shares prices

CS Executive · Capital Market and Securities Laws · PYQS · December 2024
ABC Limited, is a newly formed manufacturing company by a prominent industrial house. Within 3 years of its incorporation, it has issued its first bonus shares. Considering its overall business performance, shares prices of ABC Limited is transacted around 18 times of its PE in Bombay Stock Exchange. But, due to some difference with its management, the Company Secretary has vacated the post of KMP. Looking at your past performance, ABC Limited has appointed you as their new Company Secretary. One of your junior Company Secretary wanted to know, which outcomes of the board meeting should be disclosed to the Bombay Stock Exchange within 30 minutes of the closure of these meetings? Please explain.

Answer & Explanation:

Various outcomes of the Board Meetings which are essential to be disclosed to the Stock Exchange in which the Company is Listed within 30 minutes of the closure of the meeting, are as under: Dividends and/or cash bonuses recommended or declared or the decision to pass any dividend and the date on which dividend shall be paid/dispatched. Any cancellation of dividend with reasons thereof. The decision on buyback of securities. The decision with respect to fund raising proposed to be undertaken. Increase in capital by issue of bonus shares through capitalization including the date on which such bonus shares shall be credited/dispatched. Reissue of forfeited shares or securities, or the issue of shares or securities held in reserve for future issue or the creation in any form or manner of new shares or securities or any other rights, privileges or benefits to subscribe to. Short particulars of any other alterations of capital, including calls. Financial results. Decision on voluntary delisting by the listed entity from stock exchange(s). In case of board meetings being held for more than one day, the financial results shall be disclosed within thirty minutes of end of the meeting for the day on which it has been considered.

Topics: SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

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