Section 232(3)(i) is applicable to all the companies and does not make a distinction whether the company is a private or public company or whether it is listed company or non-listed company – Ritemed Pharma Retail Pvt. Ltd. Vs. The Official Liquidator- NCLAT New Delhi
It is the prerogative of the company to issue shares at a premium or otherwise depending upon the facts and circumstances of the situation. In the present case the shares are being issued by the transferee company to the transferor company for acquiring the assets of the company. If the fair value of the assets being acquired by the transferee company is more than the face value of the shares issued for the same, the company has no other alternative but to allot the shares at premium and the difference being carried to a “securities premium account”. This is what precisely the company has proposed to do.
