Executive Summary:
This notification from the Ministry of Corporate Affairs amends the Companies Prospectus and Allotment of Securities Rules, 2014. The amendment pertains to special resolutions for securities offered to qualified institutional buyers. These rules are called the Companies Prospectus and Allotment of Securities Amendment Rules, 2020 and come into force from the date of publication in the Gazette.
Key Points / Main Content:
* **Amendment Title:** The rules are called the Companies Prospectus and Allotment of Securities Amendment Rules, 2020.
* **Effective Date:** The rules come into force from the date of their publication in the Gazette.
* **Amendment to Rule 14:**
* In the Companies Prospectus and Allotment of Securities Rules, 2014, rule 14 is amended.
* In sub-rule 1 of rule 14, after the third proviso, a new proviso is inserted.
* **Special Resolution for QIBs:** For securities offered to qualified institutional buyers, a company only needs to pass a special resolution once a year for all allotments to such buyers during that year.
Impact Analysis:
Qualified Institutional Buyers (QIBs)
* Impact: Benefits from a streamlined process, as companies only need to pass a special resolution once a year for all allotments to QIBs.
* Action Required: Be aware of the new rule allowing a single annual special resolution for all allotments made to them during the year.
Companies:
* Impact: The amendment simplifies the process of offering securities to qualified institutional buyers by reducing the frequency of required special resolutions.
* Action Required: Implement the change, ensuring that a special resolution is passed annually for all allotments to qualified institutional buyers, rather than for each individual offering.
Key Entities Referenced
Companies Act, 2013: A law governing companies in India, cited as the basis for the notification.
Companies Prospectus and Allotment of Securities Rules, 2014: The principal rules being amended by this notification.
Companies Prospectus and Allotment of Securities Amendment Rules, 2020: The title of the amendment rules introduced by this notification.
Ministry of Corporate Affairs: The government ministry issuing the notification.
New Delhi: The location where the notification was issued.
Qualified Institutional Buyers: A specific class of investors mentioned in the amendment regarding securities offerings.
K. V. R. Murty: The Joint Secretary who signed the notification.
Gazette of India: The official government gazette in which the rules were published.
रिज(cid:7021)(cid:7069)ी स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99
सी.जी.-डी.एल.-अ.-16102020-222511
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CG-DL-E-16102020-222511
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असाधारण
EXTRAORDINARY
भाग II—ख(cid:7003) ड 3—उप-ख(cid:7003)ड (i)
PART II—Section 3—Sub-section (i)
(cid:7079)ािधकार स े(cid:7079)कािशत
PUBLISHED BY AUTHORITY
स.ं 522] नई (cid:7408)द(cid:7016)ली, शु(cid:7059)वार, अ(cid:6989)त बू र 16, 2020/आि(cid:7019)व न 24, 1942
No. 522] NEW DELHI, FRIDAY, OCTOBER 16, 2020/ASVINA 24, 1942
कारपोरेट काय (cid:6981) म(cid:7074)ं ालय
अिधसचू ना
नई (cid:7408)द(cid:7016)ली, 16 अ(cid:6989) तूबर, 2020
सा.का.िन. 642(अ).—क(cid:7286)(cid:7076)ीय सरकार, कंपनी अिधिनयम, 2013 (2013 का 18) क(cid:7409) धारा 469 के साथ प(cid:7407)ठत,
धारा 26, धारा 27 क(cid:7409) उप-धारा (1), धारा 28, धारा 29, धारा 31 क(cid:7409) उप-धारा (2), धारा 39 क(cid:7409) उप-धारा (3) तथा
(4), धारा 40 क(cid:7409) उप-धारा (6) और धारा 42 (cid:7367)ारा (cid:7079)द(cid:7275) शि(cid:7334)य(cid:7298) का (cid:7079)योग करत े (cid:7263)ए, कंपनी ((cid:7079)ो(cid:7021)प(cid:6989)े टस और
(cid:7079)ितभूितय(cid:7298) का आबंटन) िनयम, 2014 का और संशोधन करन ेके िलए िन(cid:7388)िलिखत िनयम बनाती ह,ै अथा(cid:6981)त:्-
1. संि(cid:6979)(cid:7385) नाम और (cid:7079)ारंभ.- (1) इन िनयम(cid:7298) का संि(cid:6979)(cid:7385) नाम कंपनी ((cid:7079)ो(cid:7021)प(cid:6989)े टस और (cid:7079)ितभूितय(cid:7298) का
आबंटन) संशोधन िनयम, 2020 ह।ै
(2) य े राजप(cid:7074) म(cid:7286) इनके (cid:7079)काशन क(cid:7409) तारीख स े (cid:7079)व(cid:7275)ृ ह(cid:7298)गे।
2. कंपनी ((cid:7079)ो(cid:7021)प(cid:6989)े टस और (cid:7079)ितभूितय(cid:7298) का आबंटन) िनयम, 2014 के, िनयम 14 के, उप-िनयम (1) के
तीसरे परंतुक के प(cid:7391)ात,् िन(cid:7388)िलिखत परंतुक रखा जाएगा, अथा(cid:6981)त्:-
“परंत ु यह भी (cid:7408)क अहत(cid:6981) ा (cid:7079)ा(cid:7385) सं(cid:7021)थागत (cid:7059)ेता(cid:7312) को (cid:7408)क(cid:7008)ह(cid:7277) (cid:7079)ितभूितय(cid:7298) के (cid:7079)(cid:7021)थापन अथवा आमं(cid:7074)ण के
मामल े म,(cid:7286) यह पया(cid:6981)(cid:7385) होगा य(cid:7408)द कंपनी वष (cid:6981) के दौरान ऐसे (cid:7059)ेता(cid:7312) के िलए सभी आबंटन(cid:7298) के संबंध म(cid:7286) वष(cid:6981) म (cid:7286) केवल
एक बार पूव(cid:6981)वत(cid:7278) िवशेष संक(cid:7016)प पा(cid:7407)रत करती ह।ै ”
[फा. सं. 1/21/2013-सीएल-V-भाग]
के. वी. आर. म(cid:7414)ू त,(cid:6981) संय(cid:7334)ु सिचव
4967 GI/2020 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
(cid:7407)ट(cid:7009)पणी : मलू िनयम, भारत के राजप(cid:7074), असाधारण, भाग- II, खंड 3, उप-खंड (i) म(cid:7286) अिधसचू ना स.ं सा.का.िन. 251(अ)
तारीख 31 माच,(cid:6981) 2014 (cid:7367)ारा (cid:7079)कािशत (cid:7408)कए गए थे और उनम(cid:7286) त(cid:7004)प(cid:7391)ात ् िन(cid:7388)ानुसार संशोधन (cid:7408)कए गए: -
(1) अिधसूचना स.ं सा.का.िन 424(अ) तारीख 30 जून, 2014 (cid:7367)ारा;
(2) अिधसूचना स.ं सा.का.िन 430(अ) तारीख 07 मई, 2018 (cid:7367)ारा;
(3) अिधसूचना स.ं सा.का.िन 752(अ) तारीख 7 अग(cid:7021)त, 2018 (cid:7367)ारा;
(4) अिधसूचना स.ं सा.का.िन 853(अ) तारीख 10 िसतंबर, 2018 (cid:7367)ारा;
(5) अिधसूचना स.ं सा.का.िन 43(अ) तारीख 22 जनवरी, 2019 (cid:7367)ारा;
(6) अिधसूचना स.ं सा.का.िन 130(अ) तारीख 19 फरवरी, 2019 (cid:7367)ारा; और
(7) अिधसूचना स.ं सा.का.िन 376(अ) तारीख 22 मई, 2019 (cid:7367)ारा।
MINISTRY OF CORPORATE AFFAIRS
NOTIFICATION
New Delhi, the 16th October, 2020
G.S.R. 642(E).—In exercise of the powers conferred by section 26, sub-section (1) of section 27, section 28,
section 29, sub-section (2) of section 31, sub-sections (3) and (4) of section 39, sub-section (6) of section 40 and
section 42 read with section 469 of the Companies Act, 2013 (18 of 2013), the Central Government hereby makes the
following rules further to amend the Companies (Prospectus and Allotment of Securities) Rules, 2014, namely:-
1. Short title and commencement.‐ (1) These rules may be called the Companies (Prospectus and Allotment
of Securities) Amendment Rules, 2020.
(2) They shall come into force from the date of their publication in the Gazette.
2. In the Companies (Prospectus and Allotment of Securities) Rules, 2014, in rule 14, in sub-rule (1), after
third proviso, the following proviso shall be inserted, namely: -
“Provided also that in case of offer or invitation of any securities to qualified institutional buyers, it
shall be sufficient if the company passes a previous special resolution only once in a year for all the
allotments to such buyers during the year.”.
[F. No. 1/21/2013-CL-V-Part]
K. V. R. MURTY, Jt. Secy.
Note : The Principal rules were published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i)
vide notification number G.S.R. 251(E), dated the 31st March, 2014 and were subsequently amended:-
(1) Vide notification number G.S.R. 424(E), dated the 30th June, 2014;
(2) Vide notification number G.S.R. 430 (E), dated the 7th May, 2018;
(3) Vide notification number G.S.R. 752 (E), dated the 7th August, 2018;
(4) Vide notification number G.S.R. 853 (E), dated the 10th September, 2018;
(5) Vide notification number G.S.R. 43 (E), dated the 22nd January, 2019;
(6) Vide notification number G.S.R. 130 (E), dated the 19th February, 2019; and
(7) Vide notification number G.S.R. 376(E), dated the 22nd May, 2019.
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