Procedure for Declaration and Payment of Interim Dividend
As per Section 2(35) of the Companies Act, 2013, the term dividend” includes any interim dividend. The Board of Directors of a company may declare interim dividend during any financial year or at any time during the period from closure of financial year till holding of the annual general meeting out of the surplus in the profit and loss account or out of profits of the financial year for which such interim dividend is sought to be declared or out of profits generated in the financial year till the quarter preceding the date of declaration of the interim dividend.
Procedure for Right Issue of Equity Shares by a Private/Public Limited Company
• Where a company having share capital proposes to increase its subscribed capital by issuing further shares, such shares shall be offered to the existing equity shareholders of the company in proportion to the paid-up share capital of those shares by sending letter of offer.
Procedure for Private Placement in Public & Private Companies
A private placement refers to the offering or issuance of securities by the Company to a specific group of identified individuals, rather than through a public issue.
Procedure for the Appointment of an Additional Director
Board of Directors has the power to appoint any director as an additional director other than a person who fails to get appointed as a director in a general meeting, if authorized by the Article of Association (AoA) of the company.
Procedure for Appointment of Small Shareholders’ Director
A listed company may appoint a small shareholders’ director suo moto or upon receiving notice from either one thousand small shareholders or one-tenth of the total number of small shareholders, whichever is lower.